In 2017, Artesia, Inc., reported $300 million in sales, $17 million in net income, $1 million in

Question:

In 2017, Artesia, Inc., reported $300 million in sales, $17 million in net income, $1 million in interest expense, and average total assets of $120 million. What is Artesia's return on assets in 2017? Assume an industry average of 16%. Did the company's return on assets improve or deteriorate? What could be some reasons for the change?