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Solvency and Profitability Trend Analysis Addal Company has provided the following comparative information: 2018 Net income Interest expense Income tax expense Total assets (ending

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Solvency and Profitability Trend Analysis Addal Company has provided the following comparative information: 2018 Net income Interest expense Income tax expense Total assets (ending balance) $1,021,000 Total stockholders' equity (ending balance) Average total assets Average stockholders' equity 2017 $880,200 $739,700 $632,200 $535,800 347,100 316,900 273,700 208,600 166,100 326,720 246,456 207,116 164,372 128,592 6,138,124 6,471,092 4,664,722 4,850,770 3,678,500 1,956,389 2,360,735 1,508,275 1,877,079 1,126,247 6,304,608 5,567,907 4,757,746 4,042,308 3,440,686 2,158,562 1,934,505 1,692,677 1,501,663 1,316,462 2016 2015 2014 You have been asked to evaluate the historical performance of the company over the last five years. Selected industry ratios have remained relatively steady at the following levels for the last five years: 2014-2018 Return on total assets Return on stockholders' equity Times interest earned 21.4% 44.1% 4.6 Ratio of liabilities to stockholders' equity 2.1 Required: 1. Determine the following for the years 2014 through 20Y8. Round to one decimal place: a. Return on total assets: 2018 2017

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