Use the following information to answer questions
Green Thumb Garden Supplies reported the following information for 2012 and 2013.
-What is the return on assets for 2013?
A)27.1%
B)10.0%
C)9.2%
D)8.6%

Question

Use the following information to answer questions 
Green Thumb Garden Supplies reported the following information for 2012 and 2013. 
-What is the return on assets for 2013?
A)27.1% 
B)10.0% 
C)9.2% 
D)8.6%

Quizplus · Accepted Answer

Return on assets is calculated by dividing net income by average total assets. For 2013, net income is $23,793 and average total assets are (($516,020+$401,045)/2) = $458,533. Therefore, return on assets for 2013 is ($23,793/$458,533)*100 which is equal to 9.2%.

Use the Following Information to Answer Questions