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Profitability Ratios East Point Retail, Inc. sells apparel through company-owned retail stores. Recent financial information for East Point follows (in thousands): Fiscal Year 3 Fiscal Year 2 Net income $160,300 $82,600 Interest expense 3,300 12,300 Fiscal Year 3 Fiscal Year 2 Fiscal Year 1 Total assets (at end of fiscal year) $2,045,000 $1,945,244 $1,704,756 Total stockholders' equity (at end of fiscal year) 1,086,597 1,065,081 791,099 Assume the apparel industry average return on total assets is 5.0% and the average return on stockholders' equity is 8.0% for the year ended February 2, Year 3. a. Determine the return on total assets for East Point for fiscal Years 2 and 3. Round percentages to one decimal place. Fiscal Year 3 % Fiscal Year 2 % b. Determine the return on stockholders' equity for East Point for fiscal Years 2 and 3. Round percentages to one decimal place. Fiscal Year 3 % Fiscal Year 2 % c. The return on stockholders' equity is the return on total assets due to the use of leverage. compared to the industry average. These relationships suggest that East Point's has leverage than the d. During fiscal Year 3, East Point's results were industry, on average. Five Measures of Solvency or Profitability The balance sheet for Garcon Inc. at the end of the current fiscal year indicated the following: Bonds payable, 7% $1,600,000 $55,500 Preferred $10 stock, $50 par Common stock, $14 par $90,132.00 Income before income tax was $201,600, and income taxes were $29,550 for the current year. Cash dividends paid on common stock during the current year totaled $40,238. The common stock was selling for $250 per share at the end of the year. Determine each of the following. Round answers to one decimal place, except for dollar amounts which should be rounded to the nearest whole cent. Use the rounded answers for subsequent requirements, if required. a. Times interest earned ratio times b. Earnings per share on common stock c. Price-earnings ratio d. Dividends per share of common stock $ e. Dividend yield %