Please see the attached file.© BrainMass Inc. brainmass.com June 3, 2020, 8:59 pm ad1c9bdddf
The numbers below are for Iffy Company and Model Company for the year 2006:
Cash $ 120 $ 900
Accounts receivable 600 4,500
Inventory 480 6,000
Property, plant, and equipment 3,440 15,000
Total liabilities 3,190 18,150
Stockholders' equity ...
This solution is comprised of a detailed explanation to compute return on equity, return on sales, asset turnover, and the assets-to-equity ratio for both Iffy and Model.