Question: Here are comparative statement data for Duke Company and Lord Company, two competitors. All balance sheet data are as of December 31, 2020, and December
Here are comparative statement data for Duke Company and Lord Company, two competitors. All balance sheet data are as of December 31, 2020, and December 31, 2019.
| Duke Company | Lord Company | |||||||
|---|---|---|---|---|---|---|---|---|
| 2020 | 2019 | 2020 | 2019 | |||||
| Net sales | $1,872,000 | $561,000 | ||||||
| Cost of goods sold | 1,070,784 | 297,330 | ||||||
| Operating expenses | 265,824 | 78,540 | ||||||
| Interest expense | 9,360 | 3,927 | ||||||
| Income tax expense | 54,288 | 6,732 | ||||||
| Current assets | 323,500 | $310,300 | 82,300 | $79,200 | ||||
| Plant assets (net) | 522,000 | 497,600 | 138,900 | 125,400 | ||||
| Current liabilities | 64,800 | 74,400 | 36,600 | 29,400 | ||||
| Long-term liabilities | 108,200 | 89,600 | 29,000 | 25,200 | ||||
| Common stock, $10 par | 497,500 | 497,500 | 120,000 | 120,000 | ||||
| Retained earnings | 175,000 | 146,400 | 35,600 | 30,000 | ||||
Compute the 2020 return on assets and the return on common stockholders equity ratios for both companies. (Round answers to 1 decimal place, e.g. 12.1%.)
| Duke Company | Lord Company | |||||
|---|---|---|---|---|---|---|
| Return on assets | enter a percentage number rounded to 1 decimal place | % | enter a percentage number rounded to 1 decimal place | % | ||
| Return on common stockholders equity | enter a percentage number rounded to 1 decimal place | % | enter a percentage number rounded to 1 decimal place | % | ||
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