Total assets Dec. 31, 2012 Dec. 31, 2011 Dec. 31, 2010 $3,000,000 $2,700,000 $2,400,000 Notes payable (10% interest) 1,000,000 1,000,000 1,000,000 Common stock 400,000 400,000 400,000 Preferred $6 stock, $100 par 200,000 200,000 200,000 (no change during year) Retained earnings 1,126,000 896,000 600,000 The 2012 net income was $242,000 and the 2011 net income was $308,000. No dividends on common stock were declared between 2010 and 2012. The Rate Earned on Total Assets for 2012 is equal to: (Note: No special instruction is given in this problem, so use the appropriate average needed) 16.0%