Average profit margin of 15 % ?? YangCompany reported net incomeof $37,925 and net sales of $390,000 for thecurrent year. Calculate the company's profitmargin and interpret the result. Assume that itscompetitors earn an average profit marginof 15%.

Step 1: Define Profit MarginThe financial health of any company is determined by using various…

Answered: Yang Company reported net income of…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter12: Balanced Scorecard And Other Performance Measures

Section: Chapter Questions

Problem 6EB: During the current year, Plainfield Manufacturing earned income of $845,000 from total sales of...

See similar textbooks

Similar questions

Juroe Company provided the following income statement for last year: Juroes balance sheet as of December 31 last year showed total liabilities of 10,250,000, total equity of 6,150,000, and total assets of 16,400,000. Required: 1. Calculate the return on sales. (Note: Round the percent to two decimal places.) 2. CONCEPTUAL CONNECTION Briefly explain the meaning of the return on sales ratio, and comment on whether Juroes return on sales ratio appears appropriate.
Calculate the company's profit margin??
What is the profit margin ratio for rainbow corp?
XYZ Ltd. has earned 8% Return on Total Assests of GHS 50,00,000 and has a Net Profit Ratio of 5%. Find out the Sales of the firm.
Marino Company has provided the following information: Net sales, $480,000 Net income, $24,000 Average total assets, $200,000 What is Marino's net profit margin?
During the current year, Sokowski Manufacturing earned income of $459,595 from total sales of $6,290,139 and average capital assets of $10,730,071. What is the sales margin? Round to the nearest hundredth, two decimal places and submit the answer in a percentage.
Crane reported the following information for its fiscal year end: On net sales of $ 53.000 billion, the company earned net income after taxes of $ 7.155 billion. It had a cost of goods sold of $ 21.465 billion and EBIT of $ 9.275 billion. What are the company’s gross profit margin, operating profit margin, and net profit margin? (Round answers to 1 decimal place, e.g.12.5%.) Gross profit margin % Operating profit margin % Net profit margin %
Briggs Company has operating income of $45,760, invested assets of $143,000, and sales of $457,600. Use the DuPont formula to compute the return on investment. If required, round your answers to two decimal places. a. Profit margin % b. Investment turnover c. Return on investment %
then the gross profit margin M = M(G, T) is given by the formula M = GT. Use functional notation to express the gross profit margin for a company that has a gross profit of $355,000 and a total revenue of $510,000
Calculate the gross and net profits (in $) and the two profit margins (as %s) for the given company. (Round profit margins to the nearest tenth of a percent.) Gross Profit Margin (%) 38.43 % Company Net Sales an optometry store $340,735 Cost of Goods Sold $209,655 $ Gross Profit Operating Expenses $83,921 Net Profit $ 47,159 ✓ Net Profit Margin (%) %
During the current year, Sokowski Manufacturing earned income of $422,100 from total sales of $6,300,000 and average capital assets of $11,900,000. What is the sales margin? If required, round your answer to one decimal place.
The balance sheet of ATLF, Inc. reports total assets of $1,950,000 and $2,050,000 at the beginning and end of the year, respectively. Net income and sales for the year are $150,000 and $1,000,000, respectively. What is ATLF's profit margin? Select one: a. 10% Ob. 8% O c. 7.5% O d. 15% e. 12%

SEE MORE QUESTIONS

Recommended textbooks for you

Principles of Accounting Volume 2

Accounting

ISBN:

9781947172609

Author:

OpenStax

Publisher:

OpenStax College

Managerial Accounting: The Cornerstone of Busines…

Accounting

ISBN:

9781337115773

Author:

Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:

Cengage Learning

Principles of Accounting Volume 2

Accounting

ISBN:

9781947172609

Author:

OpenStax

Publisher:

OpenStax College

Managerial Accounting: The Cornerstone of Busines…

Accounting

ISBN:

9781337115773

Author:

Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:

Cengage Learning

SEE MORE TEXTBOOKS

Yang Company reported net income of $37,925 and net sales of $390,000 for the current year. Calculate the company's profit margin and interpret the result. Assume that its competitors earn an average profit margin of 15%.