The following data was reported by LMS for a two-year period:

	20x11	20x12
Sales revenue (one-fourth on credit)	$84,000	$120,000
Cost of goods sold	(51,000)	(65,000)
Operating expenses*	(23,000)	(27,000)
Income tax (20%)	(2,000)	(5,600)
Net income	$8,000	$22,400

Assets:

Cash	$15,000	$11,000
Accounts receivable (net)	20,000	26,000
Inventory	35,000	39,000
Capital assets (net)	40,000	44,000
Total assets	$110,000	$120,000

Liabilities:

Current liabilities	$30,000	$29,000
Long-term liabilities	23,000	20,000
Shareholders' equity: Common shares, 5,000 shares issues	50,000	50,000
Retained earnings	7,000	21,000
Total liabilities & shareholders' equity	$110,000	$120,000

*Includes interest expense, $2,500 (pre-tax)

Compute the following ratios for 20x12:

(1) Profit margin on sales

(2) Return on total assets