Business, 21.03.2020 04:26 amandaaarmentaa

Sheffield Company manufactures backpacks. During 2022, Sheffield issued bonds at 12% interest and used the cash proceeds to purchase treasury stock. The following financial information is available for Sheffield Company for the years 2022 and 2021.
2022 2021
Sales revenue $19,350,000 $19,350,000
Net income 4,816,000 5,375,000
Interest expense 625,000 175,000
Tax expense 1,440,500 1,612,500
Dividends paid on common stock 1,112,500 1,282,500
Dividends paid on preferred stock 375,000 375,000
Total assets (year-end) 31,175,000 36,281,250
Average total assets 19,609,375 22,203,750
Total liabilities (year-end) 7,500,000 3,750,000
Avg. total common stockholders' equity 11,750,000 17,625,000

Required:
Use the information above to calculate the following ratios for both years: (Round answers to 1 decimal place, eg, 12.5% or 12.5.) 2017 2016
1) Return on assets
2) Return on common stockholders' equity
3) Payout ratio
4) Debt to assets ratio
5) Times interest earned

Answers: 3

Show answers

Another question on Business

Business, 22.06.2019 20:20

This activity is important because as a marketing manager, you must allocate resources to reach your target market. during the strategic marketing process, managers move through three important phases to determine how to optimally allocate resources: a planning phase, an implementation phase, and an evaluation phase. in this interactive exercise, you are asked to review various strategic marketing actions and determine where in the strategic marketing process the action would occur. the goal of this exercise is to demonstrate your understanding of the strategic marketing process and related marketing actions.

Answers: 2

Answer

Business, 22.06.2019 21:30

Which of the following best explains the purpose of protectionist trade policies such as tariffs and subsidies? a. they make sure that governments have enough money to pay for fiscal policies. b. they give foreign competitors access to new markets around the world. c. they allow producers to sell their products more cheaply than foreign competitors. d. they enable producers to purchase productive resources from everywhere in the world.

Answers: 1

Answer

Business, 22.06.2019 22:40

Utilization will always be lower than efficiency because: a. effective capacity is greater than design capacityb. expected output is less than actual output.c. effective capacity equals design capacity.d. effective capacity is less than design capacity.e. expected output is less than rated capacity.

Answers: 3

Answer

Business, 23.06.2019 13:50

Anthony wants to start making periodic investments in aretirement account. he will make a yearly contribution of$3,000 at the beginning of each year. the account will pay7.2% interest, compounded monthly. how much will hisaccount be worth after 35 years? $369,600$10,560$112,560$490,928.71

Answers: 2

Answer

You know the right answer?

Sheffield Company manufactures backpacks. During 2022, Sheffield issued bonds at 12% interest and us...

Questions