Question

Hot Shot Delivery Inc. provides the following year end data:

Answer 1

Answer:

27.3%

Explanation:

rate of retun on assets:

$\frac{Income}{Assets} = Assets rate of return$

​where:

Net income:              112,000

2018 Assets:           410,000

$\frac{112,000}{410,000} = Assets rate of return$

$Assets rate of return 0.2731707317073171‬ = 27.32%

During 2018 each dollar of assets generate 27.32 cents of income.