At January 1, Year 1, Creel Company had total assets of $1,900,000 and at December 31, Year 1, its total assets were $3,200,000. Creels net sales for Year 1 were $1,250,000 and its Year 1 net income was $145,000.

Creels return on assets for Year 1 is:

5.7%

8.5%

5.8%

6.5%