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Potvin Potvin
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7 years ago
Tootsie Roll Industries Inc.
   Income Statement
   As of December 31, Year 6 ($000s)
   Year 6
Net sales   194,299
COGS   103,205
SG&A   54,329
EBIT   36,765
Interest expense   612
Other income (expenses), net   966
Income before income taxes   37,119
Income taxes   14,563
Net Income   22,556
Total Cash dividends   12,316
Shares Outstanding   9,645
Average price per share (4th Q)   $36.50

   Selected Financial Ratios
   Year 6   Industry Avg
Net Profit Margin      8.2%
Total Asset Turnover      1.64
ROA      13.4%
Equity Multiplier      1.42
ROE      19%

Referring to the financial statements for Tootsie Roll, what is the difference between the Industry and Tootsie for return on assets (ROA)? (Tootsie - Industry)
A) -0.70%
B) 0.72%
C) 1.72%
D) 7.00%
E) 14.00%
Textbook 
Corporate Finance Online

Corporate Finance Online


Edition: 1st
Authors:
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BlimpBlimp
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7 years ago
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Pol. Sci. Major
Minoring in Business
Columbia University Sophomore

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Potvin Author
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#2
7 years ago
I posted without any expectations, this surpassed my expectations
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