Consider the following condensed financial statements of Secure Money, Inc. The company's target rate of return is 20% (Click the icon to view the comparative balance sheet) (Click the icon to view the income statement) Read the requirements Secure Money, Inc. Comparative Balance Sheet As of December 31, 2024 and 2023 2024 2023 Assets Cash 73,000 $ 61,000 Accounts Receivable 58,200 26,800 Supplies 1,800 1,200 Property, Plant, and Equipment, net Patents, net 304,000 211,000 153,000 110,000 $ 590,000 $ 410,000 Total Assets Liabilities and Stockholders' Equity Accounts Payable $ 26,000 $ 28,000 Short-term Notes Payable 145 000 51,000 Long-term Notes Payable 193,000 123,500 Common Stock, no Par 205,000 197,000 Retained Earnings 21,000 10,500 Total Liabilities and Stockholders' Equity $ 590,000 $ 410,000 Secure Money, Inc. Income Statement For the Year Ended December 31, 2024 Net Sales Revenue $ 9,000,000 Cost of Goods Sold 5,200,000 3,800,000 Gross Profit 3,350,000 450,000 Operating Expenses Operating Income Other Income and (Expenses): Interest Expense Income Before Income Tax Expense Income Tax Expense (31,000) 419,000 146,650 Net Income 272,350 Requirement 1. Calculate the company's ROI Round all of your answers to four decimal places Begin by selecting the formula to calculate return on investment (ROI), and then enter the amounts to calculate the company's ROI (Round your calculations to four decimal places and enter your final to the nearest hundredth of a percent, XXX%) ROI 5 Requirement 2. Calculate the company's profit margin ratio Interpret your results Begin by selecting the formula to calculate profit margin ratio, and then enter the amounts to calculate the company's profit margin ratio (Enter your final to the nearest hundredth of a percent XXX%) Profit margin ratio % The company's profit margin ratio tells us that they eam of for every dollar of Requirement 3. Calculate the company's asset turnover ratio. Interpret your results Begin by selecting the formula to calculate asset turnover ratio, and then enter the amounts to calculate the company's asset turnover ratio Asset turnover ratio The company's asset turnover ratio explains how efficiently a company uses its The company is generating of to generate with every $100 of Requirement 4. Use the expanded ROI formula to confirm your results from Requirement 1 Interpret your results First, select the expanded ROI formula ROI Using the expanded formula the ROI for Secure Money, Inc is 56 To determine what is driving a company's ROI management often restates the ROI equation in its expanded form The ROI calculated with the expanded formula with the ROI calculated in Requirement 1 Using the expanded formula, the ROI for Secure Money, Inc. is To determine what is driving a company's ROI management often restates the ROI equation in its expanded form The ROI calculated with the expanded formula with the ROI calculated in Requirement 1 Requirement 6. Calculate the company's RI Interpret your results First, select the formula to calculate residual income (RI). RI The RI for Secure Money, Inc. is Secure Money, Inc is V management's target rate of return