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  3. last year jiffy park inc. had $155,000 of assets,

Last year Jiffy Park Inc. had $155,000 of assets, $305,000 of sales, $20,000 of net...

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Finance

Last year Jiffy Park Inc. had $155,000 of assets, $305,000 of sales, $20,000 of net income, and a debt-to-assets ratio of 34.5%. The new CFO believes a new computer program will enable it to reduce costs and thus raise net income to $35,000. Assets, sales, and the debt ratio would not be affected.

How much will this cost reduction improve Jiffy Parks ROE?

Group of answer choices

17.09%

19.70%

34.47%

None of these choices

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