The balance sheet and income statement shown below are for Koski Inc. Note that the firm has no amortization charges, it does not lease any assets, none of its debt must be retired during the next 5 years, and the notes payable will be rolled over.

Balance Sheet (Millions of $)	2021
Assets
Cash and securities		$	6,300
Accounts receivable			17,500
Inventories			18,200
Total current assets		$	42,000
Net plant and equipment			28,000
Total assets		$	70,000
Liabilities and Equity
Accounts payable		$	22,847
Accruals			11,253
Notes payable			5,000
Total current liabilities		$	39,100
Long-term bonds			12,000
Total liabilities		$	51,100
Common stock			5,292
Retained earnings			13,608
Total common equity		$	18,900
Total liabilities and equity		$	70,000
Income Statement (Millions of $)	2021
Net sales		$	70,000
Operating costs except depreciation			65,100
Depreciation			2,240
Earnings before interest and taxes (EBIT)		$	2,660
Less interest			1,020
Earnings before taxes (EBT)		$	1,640
Taxes (25%)			410
Net income		$	1,230
Other data:
Shares outstanding (millions)			500.00
Common dividends (millions of $)		$430.50
Int. rate on notes payable & L-T bonds			6%
Federal plus state income tax rate			25%
Year-end stock price			$29.52

What is the firm's return on invested capital? Do not round your intermediate calculations.

a. 5.56%

b. 7.41%

c. 10.56%

d. 6.46%

e. 3.43%