Assume the following data for Cable Corporation and Multi-Media Inc.

	Cable Corporation			Multi-Media Inc.
Net income	$	39,900		$	112,000
Sales		310,000			2,550,000
Total assets		480,000			937,000
Total debt		187,000			538,000
Stockholders' equity		293,000			399,000

a-1. Compute return on stockholders equity for both firms. (Input your answers as a percent rounded to 2 decimal places.)

a-2. Which firm has the higher return?

multiple choice

• Multi-Media Inc.

• Cable Corporation

b. Compute the following additional ratios for both firms. (Input your Net income/Sales, Net income/Total assets and Debt/Total asset answers as a percent rounded to 2 decimal places. Round your Sales/Total asse