tiple Choice Question 190 The following information is prou

tiple Choice Question 190 The following information is prou in s millions) ided for Crane Net income 2017 $150 $420 Net sales 2017 Total assets 12/31/15 Total assets 12/31/16 Total assets 12/31/17 1765 4830 1035 1280 2370 3060 1170 What is Blue\'s return on assets (rounded) for 2017 13.7% a. b. 11.8% c. 11.6% d. 10.4%

Solution

Return on assets = Net income/average total assets

Net income for 2017 = $420

Average assets = 3060+4030/2 = $3,545

Return on assets = $420/$3,545 = 11.8%

Return on assets = 11.8%