Below are the two most recent balance sheets and most recent income statement for Orca Industries. The company has an effective tax rate of 35%.

Balance Sheet
	2011	2010
Assets:
Cash	$10,000	$ 6,000
Accounts Receivable (net)	6,000	1,500
Inventory	8,000	10,000
Long-lived assets	12,000	11,000
Less: Accumulated depreciation	(4,000)	(2,000)
Total assets	$32,000	$26,500
Liabilities and Stockholders Equity:
Accounts payable	$ 5,000	$ 6,000
Deferred revenues	1,000	2,000
Long-term note payable	10,000	10,000
Less: Discount on note payable	(800)	(1,000)
Common stock	12,000	6,000
Retained earnings	4,800	3,500
Total liabilities and stockholders equity	$32,000	$26,500

Income Statement

For the year ended December 31, 2011

Revenues	$42,000
Cost of goods sold	(24,000)
Depreciation expense	(2,000)
Interest expense	(3,000)
Bad debt expense	(2,000)
Other expense (including income taxes)	(9,000)
Net income	$ 2,000

How much is profit margin that would be used in computing the 2011 ROA?