Question

Down Inc. operates a large quarry in Central BC. Selected data from Down Inc. for the...

Down Inc. operates a large quarry in Central BC. Selected data from Down Inc. for the year ended December 31, 2018 are presented below:
Total assets
Average total assets
Net earnings
Net sales
Average common shareholders' equity Net cash provided by operating activities
Required:
$1,600,000 1,500,000 123,200 1,200,000 1,000,000 280,000
1. Calculate the profit margin and return on equity for Down's for the year ended December 31, 2018. 2. Comment on the ratios you prepared in part 1 by comparing your ratios to the following averages in the industry: Profit Margin: 5% Return on Equity 7%
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Answer #1

The answer has been presenetd in the supporting sheet. For detailed answer refer ot the supporting sheet.

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