Total assets 10500 short-term debt 1000 long-term debt 3500


Use the following information to solve the Question below:

---2002---

Total assets: $10,500
Short-term debt: 1,000
Long-term debt: 3,500
Minority interest: 500
Equity: 5,500

Operating income: 1,350
Interest expense: 350
Tax expense (40%): 400
Minority interest: 50
Net income: 550

---2001---

Total assets: $10,000
Short-term debt: 1,000
Long-term debt: 3,000
Minority interest: 450
Equity: 5,000

Question : Return on assets for 2002 is:

A) 7.9%
B) 7.41%
C) 8.78%
D) 8.1%

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Cost Accounting: Total assets 10500 short-term debt 1000 long-term debt 3500
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