The following information pertains to Carlton Company. Assume that all balance sheet amounts represent both average and ending balance figures. Assume that all sales were on credit.

Assets
Cash and short-term investments	$35,504
Accounts receivable (net)	26,351
Inventory	27,117
Property, plant and equipment	273,614
Total Assets	$362,586
Liabilities and Stockholders' Equity
Current liabilities	$63,045
Long-term liabilities	85,104
Stockholders' equity-common	214,437
Total liabilities and stockholders' equity	$362,586
Income Statement
Net Sales	$87,008
Cost of goods sold	34,803
Gross margin	52,205
Operating expenses	28,066
Net income from operations	$24,139
Interest expense	4,350
Net income	$19,789
Number of shares of common stock	5,449
Market price of common stock	$29

What is the rate earned on total assets for this company?

Select the correct answer.

8.0%

3.3%

6.7%

1.3%