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MCS,PHD
Argosy University/ Phoniex University/
Nov-2005 - Oct-2011
Professor
Phoniex University
Oct-2001 - Nov-2016
E14-8 Selected comparative statement data for Molini Products Company are presented below. All balance sheet data are as of December 31.
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|
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2014 |
 |
2013 |
|
Net sales |
$700,000 |
 |
$680,000 |
|
Cost of goods sold |
480,000 |
 |
400,000 |
|
Interest expense |
7,000 |
 |
5,000 |
|
Net income |
42,000 |
 |
34,000 |
|
Accounts receivable |
120,000 |
 |
100,000 |
|
Inventory |
85,000 |
 |
75,000 |
|
Total assets |
580,000 |
 |
540,000 |
|
Total common stockholders’  equity |
425,000 |
 |
325,000 |
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Instructions
Compute the following ratios for 2014.
(a)Â Profit margin.
(b)Â Asset turnover.
(c)Â Â Return on assets.
(d) Return on common stockholders’ equity.
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