=+b. Assume that the ratio of net sales to assets for each company represents their respective industry segment. Interpret the differences in the ratio of net sales to assets in terms ofthe operating characteristics of each ofthe respective segments.

The following selected data were taken from the financial statements ofBerry Group Inc. for December 31, 2008, 2007, and 2006:

December 31, 2008 December 31, 2007 December 31 2006 Total assets $1,160,000 $1,040,000 $880,000 Notes payable (10% interest) 150,000 150,000 150,000 Common stock 360,000 360,000 360,000 Preferred $8 stock, $100 par

(no change during year) 160,000 160,000 160,000 Retained earnings 426,900 327,200 205,000