Use the following to answer questions
Pioneer Industries gathered the following year-end data (in thousands) for 2010 and 2009:
$$\begin{array} { l r r }
\text { Curent Assets } & \frac { 2010 } { 2009 } & \frac { 2345 } { \$ 365 } \
\text { Long-Tenn Arsets } & 790 & 720 \
\text { Curtert Liabilities } & 280 & 310 \
\text { Long-Term Liabilities } & 410 & 440 \
\text { Owners' Equity } & 445 & 335 \
\text { Net Sales } & 830 & 790 \
\text { Gross Margir } & 375 & 355 \
\text { Net Income } & 120 & 105
\end{array}$$
-The return on sales for 2010 was:
A)10.8%
B)14.5%
C)32.0%
D)45.2%

Question

Use the following to answer questions 
Pioneer Industries gathered the following year-end data (in thousands) for 2010 and 2009:
 $$\begin{array} { l r r } 
\text { Curent Assets } & \frac { 2010 } { 2009 } & \frac { 2345 } { \$ 365 } \
\text { Long-Tenn Arsets } & 790 & 720 \
\text { Curtert Liabilities } & 280 & 310 \
\text { Long-Term Liabilities } & 410 & 440 \
\text { Owners' Equity } & 445 & 335 \
\text { Net Sales } & 830 & 790 \
\text { Gross Margir } & 375 & 355 \
\text { Net Income } & 120 & 105
\end{array}$$
-The return on sales for 2010 was:
A)10.8%
B)14.5%
C)32.0%
D)45.2%

Quizplus · Accepted Answer

The formula for calculating the return on sales is:

Return on Sales = Net Income / Net Sales

Substituting the given values, we get:

Return on Sales for 2010 = 120/830 = 0.1446

Multiplying by 100 to convert to a percentage, we get:

Return on Sales for 2010 = 14.46%

Rounding to one decimal place, we get:

Return on Sales for 2010 = 14.5%

Therefore, the best choice is B) 14.5%.

Use the Following to Answer Questions Pioneer Industries Gathered

Use the Following to Answer Questions
Pioneer Industries Gathered