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S&J Plumbing, Incorporated’s income statement shows a net profit before tax of $468 and net sales of $7,482 for 2010. Total assets are at $3,244. The balance sheet lists the company’s equity for fiscal year ending 2010 as $1,746.

 

Calculate the following ratios for this company:

 

  • Return on sales ratio (net profit margin)

  • Return on assets (ROA)

  • Return on equity (ROE)

    Write a paper of 2-3 pages about the efficiency of S&J Plumbing, Inc.

 

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