Calculate the return on assets

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Question: The income statement for Stretch-Tape Corporation reports revenue of $420,000 and net income of $50,000. Average total assets for the year are $800,000. Stockholders' equity at the beginning of the year was $500,000, and $20,000 was paid to stockholders as dividends during the year. There were no other stockholders' equity transactions that occurred during the year.

Required: Calculate the return on assets, profit margin, asset turnover, and return on equity ratios.

Reference no: EM131522430

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