B 1:17:31 LOGIC COMPANY Comparative Income Statement For Years Ended December 31, 2019 and 2020 2020 2019 Gross sales $24,900 $18,750 Sales returns and allowances 900 100 Net sales $23,100 $18,650 Cost of merchandise (goods) 10,750 7,100 sold Gross profit $12,350 $11,550 Operating expenses: Depreciation $ 1,200 $ 850 Selling and administrative 5,950 4,500 Research 1,050 750 Miscellaneous 860 550 Total operating expenses $ 9,060 $ 6,650 Income before interest and taxes $ 3,290 $ 4,900 Interest expense 1,060 750 Income before taxes $ 2,230 $ 4,150 Provision for taxes 892 1,660 Net income $ 1,338 $ 2,490 LOGIC COMPANY LOGIC COMPANY Comparative Balance Sheet December 31, 2019 and 2e2e 2020 2019 $11,000 $ 7,900 15,500 11,500 7,500 13,000 23,600 9, eee $57,000 $41,400 $13,500 $10, 180 12,5ee 8,00 $26,800 $18, 100 $83,000 $59,500 Assets Current assets: Cash Accounts receivable Merchandise inventory Prepaid expenses Total current assets Plant and equipment: Building (net) Land Total plant and equipment Total assets Liabilities Current liabilities: Accounts payable Salaries payable Total current liabilities Long-term liabilities: Mortgage note payable Total liabilities Stockholders' Equity Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders equity $12,000 $ 6,100 6,000 4,000 $18,000 $10,100 21,890 19,400 $39,000 $29,500 $20,300 $20,300 23,700 9,700 $44,000 $30,000 $83,800 $59,500 Calculate the return on equity (after tax) ratio. (Do NOT enter your answer as a percentage (.e., do not move the decimal two places to the right). Enter It os e proportion rounded to the nearest hundredth.) 2020 2019 Rotum on equity