Question: Here are comparative financial statement data for Concord Company and Karen Company, two competitors. All data are as of December 31, 2022, and December 31,
Here are comparative financial statement data for Concord Company and Karen Company, two competitors. All data are as of December 31, 2022, and December 31, 2021.
| Concord Company | Karen Company | |||||||
|---|---|---|---|---|---|---|---|---|
| 2022 | 2021 | 2022 | 2021 | |||||
| Net sales | $1,884,000 | $559,000 | ||||||
| Cost of goods sold | 1,079,532 | 296,829 | ||||||
| Operating expenses | 259,992 | 79,937 | ||||||
| Interest expense | 7,536 | 4,472 | ||||||
| Income tax expense | 54,636 | 6,149 | ||||||
| Current assets | 320,000 | $314,200 | 82,300 | $78,600 | ||||
| Plant assets (net) | 521,700 | 500,000 | 139,200 | 124,500 | ||||
| Current liabilities | 65,400 | 74,600 | 36,400 | 30,600 | ||||
| Long-term liabilities | 108,400 | 89,800 | 29,200 | 25,400 | ||||
| Common stock, $10 par | 498,000 | 498,000 | 117,000 | 117,000 | ||||
| Retained earnings | 169,900 | 151,800 | 38,900 | 30,100 | ||||
Compute the 2022 return on assets and the return on common stockholders equity ratios for both companies. (Round answers to 1 decimal place, e.g. 12.1%.)
| Concord Company | Karen Company | |||||
|---|---|---|---|---|---|---|
| Return on assets | enter percentages rounded to 1 decimal place | % | enter percentages rounded to 1 decimal place | % | ||
| Return on common stockholders equity | enter percentages rounded to 1 decimal place | % | enter percentages rounded to 1 decimal place | % | ||
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