Sandhill Medical manufactures hospital beds and other institutional furniture. The company's comparative balance sheet and income statement for 2015 and 2016 follow. 2015 Sandhill Medical Comparative Balance Sheet As of December 31 2016 Assets Current assets Cash $386,000 Accounts receivable, net 1,067,400 Inventory 736,000 Other current assets 391,000 Total current assets 2,580,400 Property, plant, & equipment, net 8,433,400 Total assets $11,013,800 $417,400 776,500 681,000 247,100 2,122,000 8,378,060 $10,500,060 Sandhill Medical Comparative Income Statement and Statement of Retained Earnings For the Year 2016 2015 Sales revenue (all on account) $10,010,000 $9,613,900 Cost of goods sold 5,703,000 5,298,800 Gross profit 4,307,000 4,315,100 Operating expenses 2,840,300 2,634,150 Net operating income 1,466,700 1,680,950 Interest expense 321,000 308,650 Net income before taxes 1,145,700 1,372,300 Income taxes (30%) 343,710 411,690 Net income $801,990 $960,610 Dividends paid Preferred dividends 29,450 29,450 Common dividends 405,000 439,000 Total dividends paid 434,450 468,450 Net income retained 367,540 492,160 Retained earnings, beginning of year 3,606,160 3,114,000 Retained earnings, end of year $3,973,700 $3,606,160 Liabilities and Stockholders' Equity Current liabilities Long-term debt Total liabilities Preferred stock, $5 par value Common stock, $0.25 par value Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $3,153,000 3,702,700 6,855,700 51,400 133,000 3,973,700 4,158,100 $11,013,800 $2,846,050 3,892,600 6,738,650 51,400 103,850 3,606,160 3,761,410 $10,500,060 Calculate the following profitability ratios for 2016. (Round answers to 1 decimal place, e.g. 50.1%.) 43.03 a. Gross margin percentage 7.46 b. Return on assets 19.77 c. Return on common stockholders' equity itu L