Grundig Technologies
Balance Sheet
As of December 31
ASSETS	2011	2010
Cash	$ 69,000	$ 22,000
Accounts Receivable	82,000	66,000
Supplies	15,000	19,000
Inventories	180,000	189,000
Land	75,000	110,000
Equipment	260,000	200,000
Accumulated Deprec.-EQ.	(69,000)	(42,000)
TOTAL ASSETS	$612,000	$564,000
LIABILITIES
Accounts Payable	$ 34,000	$ 47,000
Unearned Rent	15,000	19,000
Bonds Payable	150,000	200,000
Stockholders' Equity
Common Stock( $1 Par Value)	214,000	164,000
Retained Earnings	199,000	134,000
TOTAL LIABILITIES AND EQUITY	$612,000	$564,000
Grundig Technologies
Income Statement
For the year ended December 31, 2011
Sales	$560,000
Cost of Goods Sold	($320,000)
Gross Profit	$240,000
General and Administrative Expense	($38,000)
Selling Expense	($27,000)
Interest Expense	($17,000)
Income before Income taxes	$158,000
Income Tax Expense (35%)	($55,300)
Net Income	$102,700

1. Calculate the rate of return on assets (ROA) for 2011. Disaggregate ROA into the profit margin for ROA and total assets turnover components.
2. Calculate the rate of return on common stockholders equity (ROCE) for 2011. Disaggregate ROCE into the profit margin for ROCE, total assets turnover and capital structure leverage components.