Compute the tate of return on net sales

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Reference no: EM13827349

Net sales, net income, and total assets for Gene Blue Clothing Emporium for a four-year period follow:

(in thousands)   2010       2009       2008       2007

Net sales             $381       $357       $321       $331

Net Income        31           23           16           24

Ending total assets          193         177         165         148

Requirements

1. Compute trend percentages for each item for 2007 through 2010. Use 2007 as the base year.

2. Compute the tate of return on net sales for 2008 through 2010, rounding to three decimal places. In this industry rates of 6% are average, rates above 8% are considered good, and rates above 10% are viewed as outstanding.

3. How does Gene Blue's return on net sales compare with the industry?

Reference no: EM13827349

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