Question

Magic Flutes has total receivables of $4,600, which represent 20 days’ sales. Total assets are $83,000. The firm’s operating profit margin is 5.80%. Assume a 365-day year. What is the firm's sales-to-assets ratio? Note: Round your answer to 2 decimal places. What is the firm's return on assets? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.

Name: magic flutes has total receivables of 4600 which represent 20 days sales total assets are 83000 the firms operating profit margin is 580 assume a 365 day year what is the firms sales to asse 19103
Uploaded: 2024-07-16T03:28:19-08:00
Duration: 1 min 24 s
Channel: Breanna Ollech
Description: magic flutes has total receivables of 4600 which represent 20 days sales total assets are 83000 the firms operating profit margin is 580 assume a 365 day year what is the firms sales to asse 19103

          Magic Flutes has total receivables of $4,600, which represent 20 days’ sales. Total assets are $83,000. The firm’s operating profit margin is 5.80%. Assume a 365-day year.
What is the firm's sales-to-assets ratio?
Note: Round your answer to 2 decimal places.
What is the firm's return on assets?
Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.

Added by Jonathan B.

Horngren’s Cost Accounting

Srikant M. Datar, Madhav V. Rajan 16th Edition

Instant Answer

Solved by Expert Breanna Ollech

07/16/2024

Step 1

To find the daily sales, we can use the total receivables and the number of days they represent. Given that total receivables are $4,600 and represent 20 days of sales, we can calculate daily sales as follows: \[ \text{Daily Sales} = \frac{\text{Total Show more…

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Magic Flutes has total receivables of $4,600, which represent 20 days’ sales. Total assets are $83,000. The firm’s operating profit margin is 5.80%. Assume a 365-day year. What is the firm's sales-to-assets ratio? Note: Round your answer to 2 decimal places. What is the firm's return on assets? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.