Ahl Enterprise lists the following data for 2009 and 2008:
|
|
2009 |
2008 |
|
Net income |
52,500 |
40,000 |
|
Net sales |
1,050,000 |
1,000,000 |
|
Average total assets |
230,000 |
200,000 |
|
Average common equity |
170,000 |
160,000 |
Required
Calculate the net profit margin, return on assets, total asset turnover, and return on common equity for both years. Comment on the results. (For return on assets and total asset turnover, use end of year total assets; for return on common equity, use end of year common equity.)