Use this balance sheet and income statement to answer the following question. Use ending balances whenever average balances are required for computing ratios.

National Textile
Balance Sheet
December 31, 20x5
Assets	Liabilities
Current assets	$ 12,000		Current liabilities	$ 8,000
Investments	2,000		Long-term liabilities	2,000
Property, plant, and equipment	16,000		Total liabilities	$ 10,000
Intangible assets	10,000
		Owner's Equity
			Jonah Jones, Capital	30,000
			Total liabilities and
Total assets	$40,000		owner's equity	$40,000

National Textile
Income Statement
For the Year Ended December 31, 20x5
Net sales	$48,000
Cost of goods sold	16,000
Gross margin	$32,000
Operating expenses	22,400
Net income	$ 9,600

The return on assets for National Textile is

30 percent. 150 percent. 33-1/3 percent. 24 percent.