The financial statements for Castile Products, Incorporated are given below: Castile Products, Incorporated Balance Sheet Assets December 31 Current assets: Cash Accounts receivable, net Merchandise inventory Prepaid expenses Total current assets Property and equipment, net Total assets Liabilities and Stockholders' Equity Liabilities: Current liabilities Bonds payable, 9% Total liabilities Stockholders' equity: Common stock, $10 per value Retained earnings Total stockholders' equity Total liabilities and stockholders' equity Castile Products, Incorporated Income Statement For the Year Ended December 31 Sales Cost of goods sold $ 22,000 240,000 390,000 7,000 659,000 910,000 $ 1,569,000 $ 290,000 310,000 600,000 $110,000 859,000 969,000 $ 1,569,000 $ 2,240,000 1,180,000 1,060,000 Gross margin Selling and administrative expenses Net operating income Interest expense Net income before taxes Income taxes (30%) Net income 630,000 430,000 27,900 402,100 120,630 $ 281,470 Account balances at the beginning of the year were: accounts receivable, $170,000; and inventory, $350,000. All sales were on account. Assets at the beginning of the year totaled $1,040,000, and the stockholders' equity totaled $685,000. Required: Compute the following: (For Requirements 1 to 4, enter your percentage answers rounded to 2 decimal places (i.e., 0.1234 should be entered as 12.34).) 1. Gross margin percentage. 2. Net profit margin percentage. 3. Return on total assets. 4. Return on equity. 5. Was financial leverage positive or negative for the year? 1. Gross margin percentage 2. Net profit margin percentage 3. Return on total assets 4. Return on equity 5. Financial Leverage % % % %