Question

The assets for BIZZ0 in 2018 were $187,300; the liabilities for that year were $275,600; and the net income was $17,700. What was the return on income for the year?

Answer 1

Answer: 9.45%

Step-by-step explanation:

From the question, we are informed that the assets for BIZZ0 in 2018 were $187,300, the liabilities for that year were $275,600; and the net income was $17,700.

The return on income for the year will be:

= ( Net Income / Total Assets ) × 100

= ($17,700 / $187,300) × 100

= 0.0945

= 9.45%