Trend Analysis

Critelli Company has provided the following comparative information:

Year $5$ Year $4$ Year $3$ Year $2$ Year $1$

Net income $$1,314,000$ $$1,132,800$ $$951,900$ $$813,600$ $$689,500$

Interest expense $446,800407,800352,200268,500213,700$

Income tax expense $420,480317,184266,532211,536165,480$

Average total assets $10,671,5159,451,5348,100,0006,936,5385,942,105$

Average stockholders' equity $3,560,9763,227,3502,858,5592,566,5622,275,578$

You have been asked to evaluate the historical performance of the company over the last five years.

Selected industry ratios have remained relatively steady at the following levels for the last five years:

Industry Ratios

Return on total assets $16\mathrm{.}2\%$

Return on stockholders' equity $33\mathrm{.}7\%$

Times interest earned $4\mathrm{.}6$

Instructions:

Calculate three ratios for Year $1$ through Year $5.$ Round to one decimal place.

a$.$ Return on total assets:

Year $5$ fill in the blank $1$

$\%$

Year $4$ fill in the blank $2$

$\%$

Year $3$ fill in the blank $3$

$\%$

Year $2$ fill in the blank $4$

$\%$

Year $1$ fill in the blank $5$

$\%$

b$.$ Return on stockholders' equity:

Year $5$ fill in the blank $6$

$\%$

Year $4$ fill in the blank $7$

$\%$

Year $3$ fill in the blank $8$

$\%$

Year $2$ fill in the blank $9$

$\%$

Year $1$ fill in the blank $10$

$\%$

c$.$ Times interest earned:

Year $5$ fill in the blank $11$

Year $4$ fill in the blank $12$

Year $3$ fill in the blank $13$

Year $2$ fill in the blank $14$

Year $1$ fill in the blank $15$