Use the following information to answer this question. Windswept, Incorporated 2017 Income Statement ($ in millions) Net sales Cost of goods sold Depreciation Earnings before interest and taxes Interest paid Taxable income Taxes Net income $ 10,950 8,000 425 $ 2,525 102 $ 2,423 848 $ 1,575 Windswept, Incorporated 2016 and 2017 Balance Sheets ($ in millions) 2016 2017 2016 Cash $ 290 $ 320 Accounts payable $ 1,830 2017 $ 1,887 Accounts receivable 1,130 1,030 Long-term debt 1,080 Inventory 2,030 1,760 Common stock Total $ 3,450 $ 3,110 Retained earnings 3,380 660 1,363 3,040 910 Net fixed assets 3,500 4,090 Total assets $ 6,950 $7,200 Total liability & equity $ 6,950 $ 7,200 What is the equity multiplier for 2017? Multiple Choice ○ 2.37 times ○ 1.35 times ○ 2.77 times ☐ 1.82 times о 3.60 times
Use the following information to answer this question. Windswept, Incorporated 2017 Income Statement ($ in millions) Net sales Cost of goods sold Depreciation Earnings before interest and taxes Interest paid Taxable income Taxes Net income $ 10,950 8,000 425 $ 2,525 102 $ 2,423 848 $ 1,575 Windswept, Incorporated 2016 and 2017 Balance Sheets ($ in millions) 2016 2017 2016 Cash $ 290 $ 320 Accounts payable $ 1,830 2017 $ 1,887 Accounts receivable 1,130 1,030 Long-term debt 1,080 Inventory 2,030 1,760 Common stock Total $ 3,450 $ 3,110 Retained earnings 3,380 660 1,363 3,040 910 Net fixed assets 3,500 4,090 Total assets $ 6,950 $7,200 Total liability & equity $ 6,950 $ 7,200 What is the equity multiplier for 2017? Multiple Choice ○ 2.37 times ○ 1.35 times ○ 2.77 times ☐ 1.82 times о 3.60 times
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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