| ANY ANSWER I HAVE ARE WRONG
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 $2.6 million. |
| Required: | |
| (a) |
Calculate Taylor & Partridge’s margin and net income. (Round your margin percentage to 1 decimal place and use the same for the calculation of net income. Enter your answer in dollars, not millions of dollars. Omit the “$” and “%” signs in your response.) |
| Margin | % |
| Net income | $ |
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| (b) | Calculate Taylor & Partridge’s return on equity. (Round your answer to the nearest whole percent. Omit the “%” sign in your response.) |
| ROE | % |
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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 | |
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| 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 “$” sign in your response.) |
| Cost of goods sold | Ending inventory | |
| FIFO | $ | $ |
| LIFO | $ | $ |
| Weighted average | $ | $ |
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| (b) |
Assume that net income using the weighted average cost flow assumption is $14,000. Calculate net income under FIFO and LIFO. (Round your unit cost to 2 decimal places and rest of the answers to the nearest whole number. Omit the “$” sign in your response.) |
| Net income | |
| FIFO | $ |
| LIFO | $ |
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