International Genetic Technologies (InGen) and The Resources Development Association (RDA) are companies involved in cutting-edge genetics research. Selected financial data for (InGen) and (RDA) are provided below: (Round your answers to 1 decimal place. Enter your answers in millions (i.e., $10,100,000 should be entered as 10.1).) ($ in millions)InGenRDANet sales$163,245$130,916Net income9,79519,590Operating cash flows13,53920,281Total assets, beginning233,400173,452Total assets, ending134,278144,433 Required:1. Calculate the return on assets for both companies. ($ in millions)Return on Assets =Return on AssetsInGen %RDA %2. Calculate the cash return on assets for both companies. ($ in millions)Cash Return on Assets =Cash Return on AssetsInGen %RDA %3. Calculate the cash flow to sales ratio and the asset turnover ratio for both companies.($ in millions)Cash Flow to Sales =Cash Flow to SalesInGen %RDA % Asset Turnover =Asset TurnoverInGen timesRDA times

Answered: International Genetic Technologies…

Here in this question we are required to calculate various ratios. Return on asset:- Return on asset…

($ in millions)

Return on Assets

Return on Assets

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter8: Basic Stock Valuation

Section: Chapter Questions

Problem 9MC

See similar textbooks

Related questions

Question

International Genetic Technologies (InGen) and The Resources Development Association (RDA) are companies involved in cutting-edge genetics research. Selected financial data for (InGen) and (RDA) are provided below: (Round your answers to 1 decimal place. Enter your answers in millions (i.e., $10,100,000 should be entered as 10.1).)

($ in millions)	InGen	RDA
Net sales	$163,245	$130,916
Net income	9,795	19,590
Operating cash flows	13,539	20,281
Total assets, beginning	233,400	173,452
Total assets, ending	134,278	144,433

Required:

1. Calculate the return on assets for both companies.

2. Calculate the cash return on assets for both companies.

3. Calculate the cash flow to sales ratio and the asset turnover ratio for both companies.

($ in millions)
Cash Flow to Sales
	=	Cash Flow to Sales
InGen			%
RDA			%

Asset Turnover
	=	Asset Turnover
InGen			times
RDA			times

Expert Solution

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions