Exhibit 4.1 The balance sheet and income statement shown below are for Koski Inc. Note that the firm has no amortization charges, it does not lease any assets, none of its debt must be retired during the next 5 years, and the notes payable will be rolled over. Balance Sheet (Millions of $) Assets 2018 Cash and securities $5,000 Accounts receivable 12,500 Inventories 12,500 Total current assets $30,000 Net plant and equipment $20,000 Total assets $50,000 Liabilities and Equity Accounts payable $11,040 Accruals 4,960 Notes payable 7,000 Total current liabilities $23,000 Total current liabilities $23,000 Long-term bonds $12,000 Total liabilities $35,000 Common stock $4,200 Retained earnings 10,800 Total common equity $15,000 Total liabilities and equity $50,000 Income Statement (Millions of $) 2018 Net sales $70,000 65,100 Operating costs except depreciation Depreciation 1,400 Earnings before interest and taxes (EBIT) $3,500 Less interest 1,140 Earnings before taxes (EBT) $2,360 Taxes 944 Net income $1,416 Less interest 1,140 Earnings before taxes (EBT) $2,360 Taxes 944 Net income $1,416 Other data: Shares outstanding (millions) 500.00 Common dividends (millions of $) $495.60 Int rate on notes payable & L-T bonds 6% Federal plus state income tax rate 40% Year-end stock price $33.98 Refer to Exhibit 4.1. What is the firm's return on invested capital? O a. 6.61% O b. 5.13% O C. 6.92% O d. 6.18% O e. 5.81%