Response to the following problem:
Aspen Company manufactures, markets, and sells ATV and snowmobile equipment and accessories. The average total assets for Aspen is $2,000,000. In its most recent year, Aspen reported net income of $100,000 on revenues of $1,200,000.
Required
1. What is Aspen Company's return on assets?
2. Does return on assets seem satisfactory for Aspen given that its competitors average a 9.5% return on assets?
3. What are the total expenses for Aspen Company in its most recent year?
4. What is the average total amount of liabilities plus equity for Aspen Company?