Flitter reported net income of $19,500 for the past year. At the beginning of the year the company had $204,000 in assets and $54,000 in liabilities. By the end of the year, assets had increased to $304,000 and liabilities were $79,000. Calculate its return on assets:

Multiple Choice

• 35.2%.

• 7.7%.

• 9.6%.

• 6.4%.

• 24.2%.