Compute the roe using the dupont model

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James Trading Corporation Balance Sheet December 31, 20XX Assets $ Liabilities and Equity $ Cash 23,015 Accounts receivable 141,258 Accounts payable 184,372 Inventory 212,444 Long term debt 168,022 Total current assets 376,717 Total liabilities 352,394 Net Plant and equipment 711,256 Common Stock 313,299 Other assets 89,879 Retained earnings 512,159 Total equity 825,458 Total Assets $1,177,852 Total Liabilities and Equity $1,177,852 James Trading Corporation Income Statement December 31, 20XX Income Statement $ Sales $2,130,000 Cost of goods sold (1,015,000) Gross margin 1,115,000 Operating expenses (878,000) Depreciation (16,030) Operating income 220,970 Interest expense (10,011) Earnings before taxes 210,959 Income taxes (54,000) Net income $156,959.

Compute the ROE using the DuPont Model.

Reference no: EM131819734

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