You are provided with the following information about Wha Ti Inc. (Wha Ti), a small engine service company.

Required:
a. Calculate Wha Ti€™s return on assets for 2015€“2018 by determining its profit margin and asset turnover ratio. Assume that profit margin equals net income divided by sales.
b. Calculate Wha Ti€™s return on equity for 2015€“2018.
c. Assess the profitability of Wha Ti. In your response, explain the reasons for any changes in Wha Ti€™sprofitability.

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2018 2017 201620152014 S957,264 $854,700 $763,125 $687,500 Sales Net income Total liabilities (at year-end) Shareholders' equity (at year-end 33,50432,47930,525 28,875 159,535 151,938 144,703 137,813 131,250 318,623 285,119 252,641 222,116 193,241