Answer:
7.3
Explanation:
Return on assets ratio is a profitability ratio that indicates how efficient a company is in generating profits by use of its assets. The ratio is calculating by dividing net income by average total assets.
i.e., return on assets = Net income / Average total assets.
The ratio is expressed as a percentage. The ratio is multiplied by 100.
From the information given
Total asset = $410,000
Current assets = $74,000
Net sales $64,000
Operating profit = $30,000
Average total assets = opening asset + closing asset/2
In the case assets are $410,000
Net income is operating profit margin = $30,000
ROA = $30,000/$410,000 x 100
=0.073170 x 100
=7.31%
