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a. Determine the return on total assets , the return on stockholders' equity , and the return on common stockholders equity for the years 20Y6
a. Determine the return on total assets, the return on stockholders' equity, and the return on common stockholders equity for the years 20Y6 and 20Y7. Round percentages to one decimal place.
b. The profitability ratios indicate that the company's profitability has
improveddeteriorated
. Since the rate of return on total assets is greater thanless than
the return on stockholders' equity in both years, there must be positivenegative
leverage from the use of debt. Step by Step Solution
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