Question: Profitability ratios (LO2) Database Systems is considering expansion into a new product line. Assets to support expansion will cost $380,000. It is estimated that Database

Profitability ratios (LO2)

Database Systems is considering expansion into a new product line. Assets to support expansion will cost $380,000. It is estimated that Database can generate $1,410,000 in annual sales, with an 8 percent profit margin. What would net income and return on assets (investment) be for the year?

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