14.4 FSA-Profitability Profitability Ratios East Point Retail, Inc., sells apparel through company-owned retail stores. Financial Information for East Point follows (in thousands): Fiscal Year 3 Fiscal Year 2 Net Income $128,100 Interest expense 2,500 $65,900 9,900 Fiscal Year 3 Fiscal Year 2 Fiscal Year 1 > Total assets (at end of fiscal year) $2,270,635 $2,159,873 Total stockholders' equity (at end of fiscal year) 917,596 899,426 $1,937,425 651,162 Assume the apparel industry average return on total assets is 8.0%, and the average return on stockholders' equity is 15.0 % for the year ended April 2, Year 3. a. Determine the return on total assets for East Point for fiscal Years 2 and 3. Round your answers to one decimal place. Fiscal Year 3 Fiscal Year 2 % % b. Determine the return on stockholders' equity for East Point for fiscal Years 2 and 3. Round your answers to one decimal place. Fiscal Year 3 % Fiscal Year 2 % c. The return on stockholders' equity is! d. During fiscal Year 3, East Point's results were! East Point was industry average. These relationships suggest that East Point has the return on total assets due to the use of leverage. compared to the industry average. The return on total assets for than the industry average. The return on stockholders' equity was! than the leverage than the industry, on average. Check My Work 2 more Check My Work uses remaining Assignment Score: 50% Previous Email Instructor Save and Exit Submit Assignment for Grading MacBook Air