Problem 18-01A a, b1 (Part Level Submission)

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		$1,878,000				$559,000
Cost of goods sold		1,040,412				296,829
Operating expenses		261,042				78,260
Interest expense		9,390				3,913
Income tax expense		54,462				6,708
Current assets		322,500		$313,000		82,300		$79,800
Plant assets (net)		521,400		498,500		138,300		126,000
Current liabilities		64,200		76,000		34,400		29,000
Long-term liabilities		108,000		91,400		31,000		24,400
Common stock, $10 par		496,500		496,500		123,000		123,000
Retained earnings		175,200		147,600		32,200		29,400

(b1)

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			%			%
Return on common stockholders equity			%			%