Question: Use this information for Kellman Company to answer the question that follows. The balance sheets at the end of each of the first two years

 Use this information for Kellman Company to answer the question that

Use this information for Kellman Company to answer the question that follows. The balance sheets at the end of each of the first two years of operations indicate the following: Kellman Company. Year 2 Year 1 Total current assets $611,800 $550,200 Total investments 69,300 45,200 Total property, plant, and equipment 877,000 605,400 Total current liabilities 116,400 84,400 Total long-term liabilities 323,500 226,800 Preferred 9% stock, $100 par 84,700 84,700 Common stock, $10 par 506,300 506,300 Paid-in capital in excess of par-Common stock 70,000 70,000 Retained earnings 457,200 228,600 Using the balance sheets for Kellman Company, if net income is $100,200 and interest expense is $40,300 for Year 2, what is the return on stockholders' equity for Year 2 (rounded to two decimal places)? a. 9.70% Ob. 10.90% c. 12.45% Od. 9.98%

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