Essay
A company had net income of $450,000 in Year 1 and $620,000 in Year 2. The company had average total assets of $2,500,000 in Year 1 and $3,000,000 in Year 2. Calculate the return on total assets for Year 1and Year 2. Comment on the results, did the company's performance improve?
Correct Answer:
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(a.) Year 1: $450,000/$2,500,000 = 18.0%...View Answer
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