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Need assistance on Return on Stockholders' equity and Return on Common Stockholders' equity. Profitability Metrics The following selected data were taken from the financial statements
Need assistance on Return on Stockholders' equity and Return on Common Stockholders' equity.
Profitability Metrics The following selected data were taken from the financial statements of The O'Malley Group Inc. for December 31, 2045, 20Y4, and 2013: December 31 2015 2014 20Y3 Total assets $293,000 $264,000 $235,000 Notes payable (10% interest) 100,000 100,000 100,000 Common stock 40,000 40,000 40,000 Preferred $3 stock, $100 par 20,000 20,000 20,000 Retained earnings 113,000 90,000 60,000 Net income 26,205 29,920 23,936 No dividends on common stock were declared between 20Y3 and 20Y5. a. Determine the return on total assets, the return on stockholders' equity, and the return on common stockholders' equity for the years 2044 and 20Y5. Round your percentage answers to one decimal place. 2045 2014 Return on total assets 13 % 16 % Return on stockholders' equity 17 X % 23 X % Return on common stockholders' equity 131 X % 150 X %Step by Step Solution
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