Markus Companys common stock sold for $3.00 per share at the end of this year....
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Accounting
Markus Companys common stock sold for $3.00 per share at the end of this year. The company paid a common stock dividend of $0.48 per share this year. It also provided the following data excerpts from this years financial statements:
Ending Balance
Beginning Balance
Cash
$ 31,000
$ 32,200
Accounts receivable
$ 64,000
$ 53,700
Inventory
$ 59,200
$ 64,000
Current assets
$ 154,200
$ 149,900
Total assets
$ 490,000
$ 506,000
Current liabilities
$ 63,000
$ 49,500
Total liabilities
$ 140,000
$ 126,000
Common stock, $1 par value
$ 126,000
$ 126,000
Total stockholders equity
$ 350,000
$ 380,000
Total liabilities and stockholders equity
$ 490,000
$ 506,000
This Year
Sales (all on account)
$ 750,000
Cost of goods sold
$ 440,000
Gross margin
$ 310,000
Net operating income
$ 162,000
Interest expense
$ 9,000
Net income
$ 107,100
4. What is the return on total assets (assuming a 30% tax rate)? (Round percentage answer to 1 decimal place. i.e., 0.123 should be considered as 12.3%)
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