The financial statements of Snapit Company are given below.
-Refer to the financial statements of Snapit Company.The firm's return on sales ratio for 2009 is ________.
A)0.0133
B)0.1325
C)1.325
D)1.260
E)none of the above

Question

The financial statements of Snapit Company are given below. 
-Refer to the financial statements of Snapit Company.The firm's return on sales ratio for 2009 is ________.
A)0.0133 
B)0.1325 
C)1.325 
D)1.260 
E)none of the above

Quizplus · Accepted Answer

Return on sales ratio = Net income / Net sales
For 2009, return on sales ratio = 80,000 / 604,000 = 0.1325 or 13.25% (option B).

The Financial Statements of Snapit Company Are Given Below