Financial data for Joel de Paris, Incorporated, for last year follow: Joel de Paris, Incorporated Balance Sheet Beginnin
Posted: Wed Apr 27, 2022 11:14 am
Financial data for Joel de Paris, Incorporated, for last year
follow: Joel de Paris, Incorporated Balance Sheet Beginning Balance
Ending Balance Assets Cash $ 133,000 $ 126,000 Accounts receivable
349,000 479,000 Inventory 564,000 473,000 Plant and equipment, net
844,000 852,000 Investment in Buisson, S.A. 408,000 430,000 Land
(undeveloped) 250,000 254,000 Total assets $ 2,548,000 $ 2,614,000
Liabilities and Stockholders' Equity Accounts payable $ 386,000 $
332,000 Long-term debt 993,000 993,000 Stockholders' equity
1,169,000 1,289,000 Total liabilities and stockholders' equity $
2,548,000 $ 2,614,000 Joel de Paris, Incorporated Income Statement
Sales $ 4,966,000 Operating expenses 4,171,440 Net operating income
794,560 Interest and taxes: Interest expense $ 116,000 Tax expense
207,000 323,000 Net income $ 471,560 The company paid dividends of
$351,560 last year. The “Investment in Buisson, S.A.,” on the
balance sheet represents an investment in the stock of another
company. The company's minimum required rate of return of 15%.
Required: 1. Compute the company's average operating assets for
last year. 2. Compute the company’s margin, turnover, and return on
investment (ROI) for last year. (Do not round intermediate
calculations and round your final answers to 2 decimal places.) 3.
What was the company’s residual income last year?
follow: Joel de Paris, Incorporated Balance Sheet Beginning Balance
Ending Balance Assets Cash $ 133,000 $ 126,000 Accounts receivable
349,000 479,000 Inventory 564,000 473,000 Plant and equipment, net
844,000 852,000 Investment in Buisson, S.A. 408,000 430,000 Land
(undeveloped) 250,000 254,000 Total assets $ 2,548,000 $ 2,614,000
Liabilities and Stockholders' Equity Accounts payable $ 386,000 $
332,000 Long-term debt 993,000 993,000 Stockholders' equity
1,169,000 1,289,000 Total liabilities and stockholders' equity $
2,548,000 $ 2,614,000 Joel de Paris, Incorporated Income Statement
Sales $ 4,966,000 Operating expenses 4,171,440 Net operating income
794,560 Interest and taxes: Interest expense $ 116,000 Tax expense
207,000 323,000 Net income $ 471,560 The company paid dividends of
$351,560 last year. The “Investment in Buisson, S.A.,” on the
balance sheet represents an investment in the stock of another
company. The company's minimum required rate of return of 15%.
Required: 1. Compute the company's average operating assets for
last year. 2. Compute the company’s margin, turnover, and return on
investment (ROI) for last year. (Do not round intermediate
calculations and round your final answers to 2 decimal places.) 3.
What was the company’s residual income last year?