Flitter Reported Net Income of $17,500 for the Past Year

Multiple Choice

Flitter reported net income of $17,500 for the past year.At the beginning of the year the company had $200,000 in assets and $50,000 in liabilities.By the end of the year,assets had increased to $300,000 and liabilities were $75,000.Calculate its return on assets:

A) 8.8%
B) 7.0%
C) 5.8%
D) 35.0%
E) 23.3%