· Period 1 Balance Sheet (Dec 31, 2022):

• Current Assets: $150,000
• Current Liabilities: $80,000

· Period 2 Balance Sheet (Dec 31, 2023):

• Current Assets: $180,000
• Current Liabilities: $100,000

·Compute Return on Assets (ROA): Requirements:

• Using data from a balance sheet and income statement, calculate the return on assets (ROA) ratio.
• Express ROA as a percentage (net income divided by average total assets).
• Interpret the ROA ratio and discuss its significance in evaluating a company's profitability and efficiency in generating returns from its assets.