Profitability Ratios The following selected data were taken from the financial statements of Vidahill Inc. for December 31, 20Y7, 20Y6, and 20Y5: Total assets Notes payable (8% interest) Common stock Preferred 4% stock, $100 par (no change during year) Retained earnings 20Y7 $184,000 60,000 24,000 12,000 Return on total assets December 31 20Y6 $166,000 60,000 24,000 12,000 20Y7 69,700 49,930 36,000 The 20Y7 net income was $20,250, and the 20Y6 net income was $14,410. No dividends on common stock were declared between 20Y5 and 20Y7. Preferred dividend were declared and paid in full in 2016 and 20Y7. a. Determine the return on total assets, the return on stockholders' equity, and the return on common stockholders' equity for the years 20Y6 and 20Y7. Round percentages to one decimal place. Return on stockholders' equity Return on common stockholders' equity b. The profitability ratios indicate that the company's profitability has return on stockholders' equity in both years, there must be % 20Y5 % $148,000 60,000 24,000 12,000 % 20Y6 % % % Since the rate of return on total assets is leverage from the use of debt. the

The following selected data were taken from the financial statements of Vidahill inc. for December 31, 20Y7, 20Y6, and 20Y5: The 20%7 net income was $20,250, and the 20y6 net income was $14,410. No dividends on common stock were declared between 20y5 and 20y7. Preferred dividen were declared and paid in full in 2046 and 20y7. a. Determine the return on total assets, the refurn on stockholdern' equity, and the return on common stockholders' equity for the years 20y6 and 20y7. Round percentages to one decimal piace