1. U KNO, Inc. uses only debt and common equity funds to finance its assets. This past year the firm's return on total assets was 24%. The firm financed 22% of its assets using debt. What was the firm's return on common equity?

2. U KNO, Inc. uses only debt and common equity funds to finance its assets. This past year the firm's return on total assets was 28%. The firm financed 27% of its assets using equity. What was the firm's return on common equity?