CHAPTER 16

Ratio of Net Sales to Assets = Net Sales ÷ Average Total Assets. Ratio of Net Sales to Assets = $1,200,000 ÷ $750,000. Ratio of Net Sales to Assets = 1.6 PE 15–8B. ... Most of this change is from net income falling from $453,750 in 2011 to $435,750 in 2012. The cost of debt is 8%. Since the rate of return on assets exceeds this amount in ... ................
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