Keller Cosmetics maintains an operating profit margin of 8.20% and a sales-to-assets ratio of 3.30. It has assets of $540,000 and equity of $340,000. Interest payments are $34,000 and the tax rate is 35%.
a. What is the return on assets? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Return on assets %
b. What is the return on equity? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Return on equity