Ann Taylor Retail, Inc., sells professional women's apparel through company-owned retail stores. Recent financial information for Ann Taylor is provided below (all numbers in thousands):

Assume the apparel industry average rate earned on total assets is 8.2%, and the average rate earned on stockholders' equity is 16.7% for fiscal 2005.
a. Determine the rate earned on total assets for Ann Taylor for the fiscal years ended January 28, 2006, and January 29, 2005. Round to one digit after the decimal place.
b. Determine the rate earned on stockholders' equity for Ann Taylor for the fiscal years ended January 28, 2006, and January 29, 2005. Round to one decimal place.
c. Evaluate the two-year trend for the profitability ratios determined in (a) and (b).
d. Evaluate Ann Taylor's profit performance relative to theindustry.

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Fiscal Year Ended Jan. 28, 2006 Jan. 29, 2005 Net income Interest expense $81,872 2,083 $63,276 3,641 Jan. 28, 2006 Jan. 29, 2005 Jan. 31, 2004 Total assets Total stockholders' equity $1,492,906 1,034,482 1327,338 1,256,397 818,856 926,744