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acct 212 The following selected data were taken from the financial statements of Vidahill Inc. for December 31, 2017, 2016, and 2005: December 31 2017
acct 212
The following selected data were taken from the financial statements of Vidahill Inc. for December 31, 2017, 2016, and 2005: December 31 2017 2016 2015 Total assets $5,200,000 $5,000,000 $4,800,000 Notes payable (6% Interest) 2,500,000 2,500,000 2,500,000 250,000 Common stock 250,000 250,000 Preferred 2.5% stock, $100 par (no change during year) 500,000 500,000 500,000 Retained earnings 1,574,000 1,222,000 750,000 The 2017 net income was $411,000, and the 20Y6 net income was $462,500. No dividends on common stock were declared between 2045 and 2017. Preferred dividends were declared and paid in full in 2016 and 2017 a. Determine the return on total assets, the return on stockholders' equity, and the return on common stockholders' equity for the years 2016 and 2047. Round percentages to one decimal place. 2017 2016 Return on total assets 11 % 12.5 % Return on stockholders' equity 19.1 % 26.6 % Return on common stockholders' equity % % b. The profitability ratios indicate that the company's profitably has the return on total assets in both years, there is Because the return on common stockholders' equity leverage from the use of debtStep by Step Solution
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