A firm has total assets at the end of year 1 of $100,000, current liabilities of $10,000, long-term debt of $60,000, and equity of $30,000. If the firm pays interest of 4,000 earns $5,000 in net income during the year 2 , and the tax rate is 20%, what is its rate of return on capital? about 5.0% about 16.7% about 9.1% about 10.0% about 5.6% Your company has net income of $100 on sales of $500. It has $2 of sales for each $1 of assets and $1.50 of assets for each $1 of equity. It retains all of net income each period. Using the DuPont method, what is the company's return on equity? \begin{tabular}{l} 40% \\ \hline 15% \\ \hline 60% \\ \hline 20% \end{tabular}