The following data were taken from the financial statements of The Amphlett Corporation, which is all equity financed.

Required

1. Calculate the following ratios for 2016 and 2017:

a. Return on equity

b. Return on assets

c. Return on sales

d. Total assets to shareholders’ equity (financial leverage)

e. Asset turnover 

2. Comment on the financial performance of The Amphlett Corporation based on your ratio calculations.

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2016 2017 Net sales.. $145,860 $161,585 Net income.. 24,765 28,340 Total assets.. 171,225 192,440 Shareholders' equity 101,975 121,165