Your boss has asked you to calculate the profitability ratios of Spandust Industries Inc. and make comments on its second$-$year performance as compared with its first$-$year performance.

The following shows Spandust Industries Inc.$\text{'}$s income statement for the last two years. The company had assets of $$5,875$ million in the first year and $$9,398$ million in the second year. Common equity was equal to $$3,125$ million in the first year, and the company distributed $100\%$ of its earnings out as dividends during the first and the second years. In addition, the firm did not issue new stock during either year.

Spandust Industries Inc. Income Statement For the Year Ending on December $31($Millions of dollars$)$

$\backslash$table$[[$Net Sales,Year $2,$Year $1],[$Operating costs except depreciation and amortization,$3,175,2,500],[$Depreciation and amortization,$159,1,723],[$Total Operating Costs,$2,014,1,823],[$Operating Income $($or EBIT$),1,161,677],[$Less: Interest,$116,54],[$Earnings before taxes $($EBT$),1,045,623],[$Less: Taxes $(25\%),261,156],[$Net Income,$784,467]]$

Calculate the profitability ratios of Spandust Industries Inc. in the following table. Convert all calculations to a percentage rounded to two decimal places.

$\backslash$table$[[$Ratio$,$Value,$],[,$Year $2,$Year $1],[$Operating margin,$27\mathrm{.}08\%,],[$Profit margin,$24\mathrm{.}69\%,7\mathrm{.}95\%$