Working Backward: Profitability Analysis
Murphy Company's total liabilities on December 31, 2014, amounted to $1,465,200. The debt-to-equity ratio on this date was 1.48 to 1. Net income for 2014 was $260,604, and the profit margin was 5.13%.
Required:
1. Determine Murphy's net sales for 2014.
$
2. Determine Murphy's total assets on December 31, 2014.
$
3. Determine Murphy's asset turnover ratio for 2014, using year-end total assets, rather than average total assets. If required, round your answer to one decimal place.