For the year ended December 31, 2010 ,Taylor & Partridge, earned an ROI of 14%. Sales for the year were $14 million, and average asset turnover was 2.4. Average owners' equity was $2.6 million.
Required:
(a) Calculate Taylor & Partridge's margin and net income. (Round your margin percentage to 1 decimal place and use the same for the calculation of net income. Enter your answer in dollars, not millions of dollars. Omit the "tiny_mce_markerquot; and "%" signs in your response.)
(b) Calculate Taylor & Partridge's return on equity. (Round your answer to the nearest whole percent. Omit the "%" sign in your response.)
ROE %
The following data are available for Sellco for the fiscal year ended on January 31, 2011:
|
|
|
|
|
|
| Sales |
770 |
units |
|
|
|
| Beginning inventory |
300 |
units |
@ |
$ |
4 |
| Purchases, in chronological order |
320 |
units |
@ |
$ |
4 |
|
440 |
units |
@ |
$ |
6 |
|
250 |
units |
@ |
$ |
7 |
|
Required:
(a) Calculate cost of goods sold and ending inventory amounts under the cost-flow assumptions, FIFO, LIFO and Weighted average (using a periodic inventory system): (Round your unit cost to 2 decimal places and rest of the answers to the nearest whole number. Omit the "tiny_mce_markerquot; sign in your response.)
|
Cost of goods sold |
Ending inventory |
| FIFO |
$ |
$ |
| LIFO |
$ |
$ |
| Weighted average |
$ |
$ |
|
(b) Assume that net income using the weighted-average cost-flow assumption is $14,000. Calculate net income under FIFO and LIFO. (Round your unit cost to 2 decimal places and rest of the answers to the nearest whole number. Omit the "tiny_mce_markerquot; sign in your response.)