The Martin Company reported net income of $65,000 on gross sales of $370,000. The company has stockholders' equity as of January 1, Year 5 of $190,000 and stockholders' equity as of December 31, Year 5 of $280,000. What is the company's return on equity? (Round your final answer to 1 decimal place.)

Group of answer choices

157.4%

27.7%

132.1%

23.2%