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Keller Cosmetics maintains an operating profit margin of 8.25% and a sales-to-assets ratio of 3.40. It has assets of $550,000 and equity of $350,000. Assume

Keller Cosmetics maintains an operating profit margin of 8.25% and a sales-to-assets ratio of 3.40. It has assets of $550,000 and equity of $350,000. Assume that interest payments are $35,000 and the tax rate is 40%.

Enter answer as a percent rounded to two decimal places

1. What is the return on assets?

2. What is the return on equity?

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