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Profitability Ratios The following selected data were taken from the financial statements of Vidahill Inc. for December 31, 20Y7, 2016, and 2015: December 31 2017
Profitability Ratios The following selected data were taken from the financial statements of Vidahill Inc. for December 31, 20Y7, 2016, and 2015: December 31 2017 2016 2015 Total assets $252,000 $227,000 $202,000 Notes payable (8% interest ) ) 80,000 80,000 80,000 Common stock 32,000 32,000 32,000 Preferred 6% stock, $100 par 16,000 16,000 16,000 (no change during year) Retained earnings: 94,140 64,780 48,000 The 2017 net income was $30,320, and the 2016 net income was $17,740. No dividends on common stock were declared between 2015 and 2017. Preferred dividends were declared and paid in full in 2016 and 2017. a. Determine the return on total assets, the return on stockholders' equity, and the return on common stockholders' equity for the years 2016 and 2017. When required, round to one decimal place. 2017 2016 % % Return on total assets Return on stockholders' equity % % Return on common stockholders' equity % % inmofitability has improved . Since the return on assets is less than the return on stockholders
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