Calculating profit margin and asset turnover


Q1) Santiago Company given the following items in its financial statements:

 

  2007 2008
Sales $937,500 $1,125,000
Net income 75,000 135,000
Total assets 3,750,000 4,500,000

 

Calculate profit margin, asset turnover, and return on assets for each year.

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Accounting Basics: Calculating profit margin and asset turnover
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