Homework SourseSG reports net income of 38000 for 2015 At the beginning of
SG reports net income of $38,000 for 2015. At the beginning of 2015, SG had $169,000 in assets. By 2015, assets had grown to $219,000.
| Choose Numertor / | Choose Denomenator = | Return Assets |
| / | = | |
Solution
Average assets=(Beginning balance+Ending balance)/2
which is equal to
=(169000+219000)/2=$194000
| Net income/ | Average assets | =Return Assets |
| 38000/ | 194000= | 19.59%(Approx). |
