ANSWER THE FOLLOWING QUESTIONS CORRECTLY

Neon Light Company has $1,000,000 in assets and $600,000 of debt. It reports net income of $100,000.

(a) what is the return on the assets?

(b) what is the return on the stockholders equity?

(c) if the firm has an asset turnover ratio of 3 times, what is the profit margin (return on sales)?