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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: The 20Y7 net

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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: The 20Y7 net income was $34,880, and the 20Y6 net income was $15,150. No dividends on common stock were declared between 20y5 and 20 . Preferted dividend were declared and paid in full in 20%6 and 20%7. a. Determine the retum on total assets, the retum on stockholders' equity, and the return on common stockholders' equity for the years 20y6 and 20n. When required, round your answers to one decimal place. b. The profitability robos indicate that the company's profisability has Since the return on assets is the return on atocholders equity in both years, there must be leverage from the use of debt

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