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Profitability Ratios

The$-$following selected data were taken from the financial statements of Vidahill Inc. for December $31,20$Y$7,20$Y$6,$ and $20$Y$5$:

$\backslash$table$[[,$December $31],[$Total assets,$$222,000,$$$200,000,$$$178,000,],[$Notes payable interest$),70,000,70,000,70,000,],[$Common stock,$28,000,28,000,28,000,],[$Preferred $6\%$ stock, $$100$ par,$14,000,14,000,14,000,],[($no change during year$),,,,],[$Retained earnings,$82,760,56,840,42,000,]]$

The $20$Y$7$ net income was $$26,760,$ and the $20Y6$ net income was $$15,680.$ No dividends on common stock were declared between $20Y5$ and $20$Y$7.$ Preferred dividends were declared and paid in full in $20Y6$ and $20Y7.$

a$.$ Determine the return on total assets, the return on stockholders equity, and the return on common stockholders' equity for the years $20$ Y and $20$Y$7.$ Round percentages to one decimal place.

b$.$ The profitability ratios indicate that the company's profitability has improved $.$ Since the rate of return on total assets is

$1$ more Check My Work uses remaining.

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