Culver Company manufactures backpacks. During 2025, Culver issued bonds at 10% interest and used the cash proceeds
Question:
Culver Company manufactures backpacks. During 2025, Culver issued bonds at 10% interest and used the cash proceeds to purchase treasury stock. The following financial information is available for Culver Company for the years 2025 and 2024. Sales revenue Net income Interest expense Tax expense Dividends paid on common stock Dividends paid on preferred stock (a) 2025 $8,500,000 (1) Return on assets 2,294,000 590,000 1,128,000 Total assets (year-end) Average total assets Total liabilities (year-end) Avg. total common stockholders' equity 27,260,000 300,000 2024 $8,500,000 6,119,000 2,536,750 903,836 1,065,435 154,000 1,282,450 300,000 14,500,000 16,500,000 15,500,000 17,375,000 2,887,500 40,890,000 Use the information above to calculate the following ratios for both years: (Round answers to 1 decimal place, e.g. 12.5 or 12.5%.) 2025 % 2024 % SUPPORT