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Using the balance sheets for Zland Company, if net income is $75,000 and interest expense is $10,000 for Year 2, what is the return on
Using the balance sheets for Zland Company, if net income is $75,000 and interest expense is $10,000 for Year 2, what is the return on stockholders' equity for Year 2? 16.04% 14.5% 6.9% 13.8% Using the balance sheets for Zland Company, if net income is $75,000 and interest expense is $10,000 for Year 2, what is the return on stockholders' equity for Year 2? 16.04% 14.5% 6.9% 13.8% Use this information for Zland Company to answer the questions that follow. The balance sheets at the end of each of the first two years of operations indicate the following: Total current assets Total investments Zland Company Year 2 Year 1 $300,000 $280,000 30,000 20,000 Total property, plant, and equipment 450,000 350,000 Total current liabilities 62,500 32,500 Total long-term liabilities 175,000 125,000 Preferred 9% stock, $100 par 50,000 50,000 Common stock, $10 par 300,000 300,000 Paid-in capital in excess of par-Common stock 37,500 37,500 Retained earnings 155,000 105,000
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