Gerry's Superette had sales of $5,000,000 in the most recent year. Operating expenses were $3,500,000. Interest and

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Question:

Gerry's Superette had sales of $5,000,000 in the most recent year. Operating expenses were $3,500,000. Interest and taxes totalled $500,000.
Total liabilities were $200,000, and owners' equity was $800,000.
Required
Calculate the following:
(a) The return on assets
(b) The return on owners' equity