Ratio of net income to total assets

Question

Problem: Jodie Foster Care Homes, Incorporated shows the following data:

Year    Net Income    Total Assets    Stockholders' Equity    Total Debt
201 $118,000    $1,900,000    $700,000    $1,200,000
2013    131,000    1,950,000    950,000    1,000,000
2014    148,000    2,010,000    1,100,000    910,000
2015    175,700    2,050,000    1,420,000    630,000

Q1. Compare the ratio of net income to total assets for each year and comment on the trend.

Q2. Compute the ratio of net income to stockholders' equity and comment on the trend. Explain why there may be a difference in the trends between parts a and b.