Explore BrainMass

Explore BrainMass

    DuPont analysis

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Please see ** ATTACHED ** file(s) for complete details!!

    Based on the income statements in attachment, solve the following questions.

    a. How did 2007 net sales compare to 2006?

    b. How did 2007 net earnings compare to 2006?

    c. Calculate the following for 2007 and 2006:
    1. Net profit margin
    2. Return on assets (using ending assets)
    3. Total asset turnover (using ending assets)
    4. DuPont analysis
    5. Operating income margin
    6. Return on operating assets (using ending assets)
    7. Operating asset turnover (using ending assets)
    8. DuPont analysis with operating ratios
    9. Return on investment (using ending liabilities and equity)
    10. Return on equity (using ending common equity)

    d. Based on the previous computations, summarize the trend in profitability for this firm.

    © BrainMass Inc. brainmass.com June 4, 2020, 12:08 am ad1c9bdddf
    https://brainmass.com/business/accounting/dupont-analysis-320923

    Attachments

    Solution Preview

    >> Please see the attached file for more info <<

    Based on the income statements in attachment, solve the following questions.
    a. How did 2007 net sales compare to 2006?
    2007 Net sales have increased as compared to 2006 by $294,184.00

    b. How did 2007 net earnings compare to 2006?
    2007 Net earnings have increased only marginally by $1,094.00

    c. Calculate the following for 2007 and 2006: 2007 2006 1. Net profit margin ...

    Solution Summary

    Response provides steps to compute the DuPont analysis

    $2.19

    ADVERTISEMENT