15 centronix computers disclosed the following comparative information in its most r 4352235

15.Centronix Computers disclosed the following comparative information in its most recent annual report.

20082007

Operating revenues$240.0$128.0

Operating income23.126.2

Net income19.221.7

Total assets137.0135.0

Required:

a.Determine the asset turnover for each year.

b.Determine the profit margin for each year.

c.Determine the return on assets for each year.

d.Comment on Centronix Computers' effectiveness and efficiency over the 2-year period.

16.The following information is from the accounting systems of two local businesses:

Cyber CafeThe Hideout

Operating revenues$276,000$149,000

Net income124,00042,000

Total assets460,000175,000

Required:

a.Compute asset turnover, profit margin and return on assets for each firm.

b.Based on your answers to part (a), describe the operating strategy for each firm.

Posted in Uncategorized