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

Line Item Description	Amount
Cash and short-term investments	$35,077
Accounts receivable (net)	33,274
Inventory	33,929
Property, plant, and equipment	276,472
Total Assets	$378,752

Line Item Description	Amount
Current liabilities	$55,957
Long-term liabilities	95,041
Common stock	174,564
Retained earnings	53,190
Total liabilities and stockholders' equity	$378,752

Line Item Description	Amount
Sales	$85,074
Cost of goods sold	34,030
Gross margin	$51,044
Operating expenses	(28,937)
Interest expense	(4,254)
Net income	$17,853

Line Item Description	Amount
Number of shares of common stock outstanding	5,319
Market price of common stock	$25
Total dividends paid	$9,000
Cash provided by operations	$30,000

What is the return on total assets for Diane Company?

a. 7.4%

b. 2.6%

c. 1.0%

d. 5.8%