Rate of Return. Three Rivers Stores earned \(\$ 1,500,000\) on net sales of \(\$ 50,000,000\) in 1996. Beginning total assets were \(\$ 10,000,000\); and ending total assets were \(\$ 12,000,000\).

\section*{Required:}

1. Compute the return on sales. How could this ratio be improved?

2. Compute the return on assets. How could this ratio be improved?

3. Compute the asset turnover. How could this ratio be improved?