Stellenson Limited is logistics company operating from the Port of Richards Bay. The financial manager of the company, Mr Bucks, has requested assistance in completing financial statement analysis to be included in the annual report.

The following is information is extracted from the accounting records of Stellenson Limited as at 29 February 2023, the end of the financial year:

	R
Share capital	337,200
Land and buildings	682,200
Share premium	30,000
Loan to director: Stellen	43,200
Retained earnings (1 March 2022) Dr	40,400
Equipment at cost	280,800
Accumulated depreciation: Equipment	36,000
Long-term loan	180,000
Debtors control	86,400
Creditors control	34,600
Sales	604,800
Allowance for settlement discount granted	7,800
Profit for the year	155,600

Additional information

1. The corporation is taxed at a rate of 28%.

2. The long-term loan was obtained on 31 July 2011 and bears interest at a rate of 12% per annum.

3. The loan to Stellen is interest free and repayable in full on 30 November 2024.

4. The following are some of the ratios as at 28 February 2022:

Return on equity 37%

Return on assets 21.81%

Profit margin 27.2%

Financial leverage 1.9

Which of the following alternatives represents the correct return on equity for Stellenson Limited for the year ended 28 February 2023?