The financial statements for Castile Products, Incorporated, are given below:

Castile Products, Incorporated Balance Sheet December 31
Assets
Current assets:
Cash	$ 24,000
Accounts receivable, net	160,000
Merchandise inventory	360,000
Prepaid expenses	8,000
Total current assets	552,000
Property and equipment, net	900,000
Total assets	$ 1,452,000
Liabilities and Stockholders' Equity
Liabilities:
Current liabilities	$ 280,000
Bonds payable, 9%	390,000
Total liabilities	670,000
Stockholders equity:
Common stock, $5 per value	$ 160,000
Retained earnings	622,000
Total stockholders equity	782,000
Total liabilities and stockholders equity	$ 1,452,000

Castile Products, Incorporated Income Statement For the Year Ended December 31
Sales	$ 2,120,000
Cost of goods sold	1,170,000
Gross margin	950,000
Selling and administrative expenses	630,000
Net operating income	320,000
Interest expense	35,100
Net income before taxes	284,900
Income taxes (30%)	85,470
Net income	$ 199,430

Account balances at the beginning of the year were: accounts receivable, $200,000; and inventory, $330,000. All sales were on account. Assets at the beginning of the year totaled $1,060,000, and the stockholders equity totaled $725,000.

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?