Ski-Doo Company manufactures, markets, and sells snowmobiles and snowmobile equipment and accessories.
The average total assets for Ski-Doo is $3,000,000. In its most recent year, Ski-Doo reported net
income of $201,000 on revenues of $1,400,000.
Required
1. What is Ski-Doo Company’s return on assets?
2. Does return on assets seem satisfactory for Ski-Doo given that its competitors average a 9.5% return
on assets?
3. What are the total expenses for Ski-Doo Company in its most recent year?
4. What is the average total amount of liabilities plus equity for Ski-Doo Company?
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