The following selected data were taken from the financial statements of Vidahill Inc. for December 31, 20Y7, 20Y6, and 20Y5:December 31Total assetsNotes payable (8% interest)Common stockPreferred 5% stock, $100 par(no change during year)Retained earnings20Y7$209,00070,00028,00014,000Return on total assetsdebt.20Y672,140The 20Y7 net income was $20,790, and the 20Y6 net income was $10,750. No dividends on common stock were declared between 20Y5and 20Y7. Preferred dividends were declared and paid in full in 20Y6 and 20Y7.20Y7$188,00070,00028,00014,0000.2552,050a. Determine the return on total assets, the return on stockholders' equity, and the return on common stockholders' equity for the years20Y6 and 20Y7. Round percentages to one decimal place.Return on stockholders' equityReturn on common stockholders' equityb. The profitability ratios indicate that the company's profitability hasX %%20Y5%$167,00070,00028,00014,00042,000the return on stockholders' equity in both years, there must be20Y6%%%. Since the rate of return on total assets isleverage from the use of

Ratio analysis :— Relationship Between two no. Of the same kind. The ratio analysis is one the most…

a. Determine the return on total assets, the return on stockholders' equity, and the return on common stockholders' equity for the years 20Y6 and 20Y7. Round percentages to one decimal place. Return on total assets 20Y7 debt. 0.25 X % Return on stockholders' equity Return on common stockholders' equity b. The profitability ratios indicate that the company's profitability has % % 20Y6 the return on stockholders' equity in both years, there must be % % % . Since the rate of return on total assets is leverage from the use of

a. Determine the return on total assets, the return on stockholders' equity, and the return on common stockholders' equity for the years 20Y6 and 20Y7. Round percentages to one decimal place. Return on total assets 20Y7 debt. 0.25 X % Return on stockholders' equity Return on common stockholders' equity b. The profitability ratios indicate that the company's profitability has % % 20Y6 the return on stockholders' equity in both years, there must be % % % . Since the rate of return on total assets is leverage from the use of

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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please answer parts 16, 17, and 18
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