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Presented below is information from Solo Inc.'s financial statements: (In millions) Year 2 Year 1 Balance sheet Total assets $34,310 $32,754 Shareholders' equity 6,304 7,878

Presented below is information from Solo Inc.'s financial statements:

(In millions)

Year 2

Year 1

Balance sheet

Total assets

$34,310

$32,754

Shareholders' equity

6,304

7,878

Income statement

Net sales

$35,372

$35,034

Net income

4,330

3,930

During Year 2, the company paid preferred dividends totaling $1,440 million. How much is the rate of return Solo generated for its common shareholders during Year 2?

a.68.7%

b.45.8%

c.6.7%

d.12.2%

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