01 Jan The following selected data were taken from the fi
The following selected data were taken from the financial statements of Yellowstone Group, Inc. for December 31, 2007, 2006, and 2005: The 2007 net income was $150,000, and the 2006 net income was $180,000. No dividends on common stock were declared between 2005 and 2007. a. Determine the rate earned on total assets, the rate earned on stockholders’ equity, and the rate earned on common stockholders’ equity for the years 2006 and 2007. Round to two digits after the decimal place. b. What conclusions can be drawn from these data as to the company’sprofitability?