The following selected data were taken from the financial statements of Vidahill Inc. for December 31, 20Y7, 20Y6, and 20YS: December 31 205 206 207 $153,000 $172,000 $191,000 Total assets 60,000 60,000 60,000 Notes payable (8% interest) 24,000 24,000 24,000 Common stock 12,000 12,000 12,000 Preferred 5% stock, $100 par (no change during year) 36,000 52.150 78,220 Retained earnings The 20Y7 net income was $26.670, and the 20Y6 net income was $16,750. No dividends on common stock were declared between 20YS and 20Y7. Preferred dividends were declared and paid in full in 20Y6 and 20Y7. a. Determine the return on total assets, the rate earned on stockholders equity, and the return on common stockholders equity for the years 20Y6 and 20Y7. When required, round to one decimal place. 206 207 V% 13.3 17.3 Return on total assets 26.4 % 20.9 % Return on stockholders' equity Return on common stockholders' equity the return on Since the rate of return on assets is less than b. The profitability ratios indicate that Vidahill Inc.'s profitability has improved leverage from the use of debt stockholders' equity in both years, there must be positive