Question

The following data were taken from the financial statements of Gates Inc. for the current fiscal year. 

Property, plant, and equipment (net)						$1,088,000
Liabilities:
	Current liabilities			$128,000
	Note payable, 6%, due in 15 years			640,000
	Total liabilities					$768,000
Stockholders' equity:
	Preferred $2 stock, $100 par (no change during year)					$768,000
	Common stock, $10 par (no change during year)					768,000
Retained earnings:
	Balance, beginning of year	$820,000
	Net income	322,000		$1,142,000
	Preferred dividends	$15,360
	Common dividends	102,640		118,000
	Balance, end of year					1,024,000
Total stockholders' equity						$2,560,000
Sales						$17,847,500
Interest expense						$38,400

Assuming that total assets were $3,162,000 at the beginning of the current fiscal year, determine the following. When required, round to one decimal place.

e.  Return on stockholders’ equity	fill in the blank 5%
f.  Return on common stockholders' equity