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llied Construction and Axis Construction reported the following information in their annual financial statements ($ in millions): Allied Construction 2018 2017 Sales $55,000 $45,000 Net

llied Construction and Axis Construction reported the following information in their annual financial statements ($ in millions):

Allied Construction 2018 2017
Sales $55,000 $45,000
Net income 3,500 3,200
Total assets 31,000 24,000

Axis Construction 2018 2017
Sales $90,000 $77,000
Net income 4,000 4,900
Total assets 55,000 62,000

Required:

1.Calculate Allied Construction's return on assets, profit margin, and asset turnover ratio for 2018.(Do not round your intermediate calculations. Round your answers to 2 decimal places.)

2.Calculate Axis Construction's return on assets, profit margin, and asset turnover ratio for 2018.(Do not round your intermediate calculations. Round your answers to 2 decimal places.)

3-a.Which company has the better profit margin?

Allied
Axis

3-b.Which company has the better asset turnover?

Axis
Allied

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