Question
Use this information for Kellman Company to answer the question that follow. The balance sheets at the end of each of the first two years
Use this information for Kellman Company to answer the question that follow. The balance sheets at the end of each of the first two years of operations indicate the following: Kellman Company Year 2 Year 1 Total current assets $624,400 $585,300 Total investments 63,200 45,700 Total property, plant, and equipment 916,900 752,400 Total current liabilities 113,100 81,800 Total long-term liabilities 282,500 248,300 Preferred 9% stock, $100 par 87,000 87,000 Common stock, $10 par 503,600 503,600 Paid-in capital in excess of parCommon stock 68,900 68,900 Retained earnings 549,400 393,800 Using the balance sheets for Kellman Company, if net income is $117,400 and interest expense is $45,200 for Year 2, what is the return on total assets for the year (rounded to two decimal places)?
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