### Accounting Information from Jones CompanyThe following data has been extracted from the accounting records of Jones Company. Please round the percentage to one decimal place.#### Financial Information:- **Net Sales:** $316,279- **Net Income:** $68,000- **Average Total Assets:** $590,000- **Average Total Liabilities:** $390,000- **Average Total Stockholders' Equity:** $245,000Based on this information, calculate the company's return on equity (ROE).### Multiple Choice Options- The answer cannot be determined from the information provided.- 27.8%- 21.5%To calculate the ROE, use the following formula:\[ \text{Return on Equity (ROE)} = \left( \frac{\text{Net Income}}{\text{Average Total Stockholders' Equity}} \right) \times 100 \% \]Use the provided financial information to determine which option is correct. The image shows a multiple-choice question from an online educational platform. The question is:"Based on this information the company's return on equity is"The answer options provided are:1. The answer cannot be determined from the information provided.2. 27.8%3. 21.5%4. 11.5%This question is part of a quiz or assessment, indicated by an interface navigation showing "Prev," "6 of 9," and "Score answer." No additional context or diagrams are available in the image.

Return on equity - Return on equity measures the profitability of the business in relation to…

The following information was drawn from the accounting records of Jones Company. (Round the percentage to 1 decimal pla Net sales $316,279 Net income 68,000 Average total assets Average total liabilities Average total stockholders' equity 590,000 390,000 245,000 Based on this information the company's return on equity is

The following information was drawn from the accounting records of Jones Company. (Round the percentage to 1 decimal pla Net sales $316,279 Net income 68,000 Average total assets Average total liabilities Average total stockholders' equity 590,000 390,000 245,000 Based on this information the company's return on equity is

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

A company reports earnings per share on common stock of $2.00 when the market price of per share of common stock is $50.000. What is the company’s price-earnings ratio?
Required: 1. Present component percentages for Year 2 only. (Input all amounts as positive values. Round the final answers to the nearest whole percent. Percentages may not add exactly due to rounding.) Statement of earnings: Sales revenue Cost of sales Gross margin Operating expenses and interest expense Earnings before income taxes Income tax expense Net earnings Statement of financial position: Cash Accounts receivable (net) Inventory Property, plant, and equipment (net) Total assets Current liabilities Long-term liabilities Common shares Retained earnings Total liabilities and shareholders' equity Component Percentages Year 2 % do % 0 % de % 0 % % 0 % do do do do do % % % % 0 % % % % % 0 %
Profitability Ratios The following selected data were taken from the financial statements of Vidahill Inc. for December 31, 20Y7, 20Y6, and 20Y5: December 31 20Y7 20Y6 20Y5 Total assets $250,000 $225,000 $200,000 Notes payable (8% interest) 80,000 80,000 80,000 Common stock 32,000 32,000 32,000 Preferred 7% stock, $100 par 16,000 16,000 16,000 (no change during year) Retained earnings 88,510 64,380 48,000 The 20Y7 net income was $25,250, and the 20Y6 net income was $17,500. No dividends on common stock were declared between 20Y5 and 20Y7. Preferred dividends were declared and paid in full in 20Y6 and 20Y7. a. Determine the return on total assets, the return on stockholders' equity, and the return on common stockholders’ equity for the years 20Y6 and 20Y7. When required, round to one decimal place. 20Y7 20Y6 Return on total assets fill in the blank 1 % fill in the blank 2 % Return on stockholders’ equity fill…
A company reports the following: Net income Preferred dividends Average stockholders' equity $190,000 7,600 1,532,258 848,372 Average common stockholders' equity Determine (a) the return on stockholders' equity and (b) the return on common stockholders' equity. If required, round your answers to one decimal place. a. Return on Stockholders' Equity b. Return on Common Stockholders' Equity % %
Please help me
Common Stockholders' Profitability Analysis A company reports the following: Net Income Preferred dividends Average stockholders' equity Average common stockholders' equity. $290,000 11,600 2,116,788 1,457,592 Determine (a) the return on stockholders' equity and (b) the return on common stockholders' equity. If required, round your answers to one decimal place. a. Return on Stockholders' Equity b. Return on Common Stockholders' Equity 4 36 M O
Determine the following measures for 20Y2 (round to one decimal place, including percentages, except for per-share amounts): Return on common stockholders' equity Earnings per share on common stock Price-earnings ratio Dividends per share of common stock Dividend yield
Domestic
The following information was drawn from the accounting records of Jones Company. Net sales Net income Average total assets Average total liabilities Average total stockholders' equity $ 368,000 58,000 516,000 308,000 208,000 Based on this information, the company's net margin (also known as return on sales) is: Multiple Choice 11.2%. 18.8% 15.8%. None of the choices is correct.
Interpret the results: • Return on equity • Return on assets • Gross profit margin • Operating profit margin • Net profit margin
Profitability ratios The following selected data were taken from the financial statements of Vidahill Inc. for December 31, 20Y7, 20Y6, and 20Y5: December 31 December 31 20Y7 20Y6 December 31 20Y5 Total assets $281,000 $253,000 $225,000 Notes payable (8% interest) 90,000 90,000 90,000 Common stock 36,000 36,000 36,000 Preferred 5% stock, $100 par (no change during year) Retained earnings 18,000 97,870 18,000 70,390 18,000 54,000 < The 2017 net income was $28,380, and the 20Y6 net income was $17,290. No dividends on common stock were declared between 20Y5 and 20Y7. Preferred dividends were declared and paid in full in 2016 and 20Y7. a. Determine the return on total assets, the return on stockholders' equity, and the return on common stockholders' equity for the years 20Y6 and 20Y7. When required, round your answers to one decimal place. 20Y7 20Y6 Return on total assets Return on stockholders' equity 0.1 % 0.1 % % % Return on common stockholders' equity % 200 % b. The profitability…
Need Help.