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Profitability Ratios The following selected data were taken from the financial statements of Vidahill Inc. for December 31, 20Y7, 20Y6, and 20Y5: December 31
Profitability Ratios The following selected data were taken from the financial statements of Vidahill Inc. for December 31, 20Y7, 20Y6, and 20Y5: December 31 2017 20Y6 2015 Total assets $4,800,000 $4,400,000 $4,000,000 Notes payable (8% interest) 2,250,000 2,250,000 2,250,000 Common stock 250,000 250,000 250,000 Preferred 4% stock, $100 par (no change during year) Retained earnings 500,000 1,574,000 500,000 1,222,000 500,000 750,000 The 2017 net income was $372,000, and the 20Y6 net income was $492,000. No dividends on common stock were declared between 2005 and 20Y7. Preferred dividends were declared and paid in full in 2016 and 2017. a. Determine the return on total assets, the rate earned on stockholders' equity, and the return on common stockholders' equity for the years 2016 and 2017. Round to one decimal place. Return on total assets Rate earned on stockholders' equity Return on common stockholders' equity 20Y7 20Y6 10.5 X % % % % % %
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