Question: Provided below are financial data for Integrated Devices Inc. and Allied Corporation. Current Year Prior Year Integrated Devices Inc. Net sales $ 900,000 $ 750,000

Provided below are financial data for Integrated Devices Inc. and Allied Corporation.

Current Year Prior Year
Integrated Devices Inc.
Net sales $ 900,000 $ 750,000
Net income 180,000 120,000
Operating cash flows 150,000 100,000
Total assets 800,000 600,000
Allied Corporation
Net sales $ 500,000 $ 400,000
Net income 90,000 80,000
Operating cash flows 120,000 100,000
Total assets 750,000 500,000

Which company had a higher cash return on assets in the current year?

  • Allied Corporation with 19.2%

  • Integrated Devices with 21.4%

  • Allied Corporation with 24.1%

  • Integrated Devices with 18.8%

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