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The balance sheets at the end of each of the first two years of operations indicate the following: Kellman Company Total current assets Total investments
The balance sheets at the end of each of the first two years of operations indicate the following: Kellman Company Total current assets Total investments Total property, plant, and equipment Total current liabilities Total long-term liabilities Preferred 9% stock, $100 par Common stock, $10 par Paid-in capital in excess of par-common stock Retained earnings Year 2 $627,194 Year 1 $588,727 66,291 41,858 902,212 659,447 106,234 88,909 312,014 235,020 94,911 94,911 592,531 592,531 64,906 425,101 64,906 213,755 Using the balance sheets for Kellman Company, if net income is $100,493 and interest expense is $46,387 for Year 2, what is the return on total assets for the year (round percento two decimal points)? Select the correct answer. 9.38% 10.18% 6.30% 7.79%
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