Selected comparative statement data for the giant bookseller Barnes & Noble are presented here. All balance sheet data are as of the end of the fiscal year (in millions).
|
2006 |
2005 |
|
|
Net sales |
$5,261.3 |
$5,103.0 |
|
Cost of goods sold |
3,623.0 |
3,535.8 |
|
Net income |
150.5 |
146.7 |
|
Accounts receivable |
100.5 |
99.1 |
|
Inventory |
1,354.6 |
1,314.0 |
|
Total assets |
3,196.8 |
3,156.3 |
|
Total common stockholders’ equity |
1,164.9 |
1,115.8 |
Instructions
Compute the following ratios for 2006:
(a) Profit margin.
(b) Asset turnover.
(c) Return on assets.
(d) Return on common stockholders’ equity.
(e) Gross profit rate.