Question Content Area Profitability Analysis for Splendid Corp. For the year ended September 26, 2015, Splendid Corporation reported net income of $2,070 million. Total shareholders' equity on this date was $18,578 million, and on September 27, 2014, it was $19,743 million. No preferred stock was outstanding in either year.

Required: 1. Compute Splendid's return on common stockholders' equity for the year ended September 26, 2015. Round your answer to two decimal places. fill in the blank

2. What other ratio would you want to compute to decide whether Splendid is successfully employing leverage? Attached are the choices for #2

Asset turnover ratio, because the excess of return on equity over the assets turnover ratio indicates if management has been successful in employing leverage. Profitability ratio, because the excess of return on assets over the profitability ratio indicates if management has been successful in employing leverage. Return on assets ratio, because the excess of return on equity over the return on assets indicates if management has been successful in employing leverage. Return on assets ratio, because the excess of return on assets ratio over the return on equity indicates if management has been successful in employing leverage