Baysde Inc 2005 Income Statement (S in thousands) $5,680 4,060 420 1,200 30 Net sales Less: Cost of goods sold Less: Depreciation Earnings before interest and taxes Less: Interest paid Taxable Income Less: Taxes Net income $1,170 410 760 Bayside, Inc. 2004 and 2005 Balance Sheets ($ in thousands) 2004 2005 2005 2004 $1,350 $1,170 720 Cash 70 180 086 840 1,560 Accounts payable Long-term debt Common stock Retained earnings Accounts rec. 500 Inventory Total 1,990 $2,610 $3,010 3,600 3,360 $6,210 $6,370 3,200 3,500 1,200 940 Net fixed assets Total assets Total liabilities & equity $6,210 $6,370 Reference: 3-2 What is the return on equity for 2005? 22.1 percent 20.9 percent 16.2 percent 23.3 percent 21.7 percent