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The financial statements for Tyler Toys, Inc. are shown below:

Tyler Toys, Inc.
Income Statement for Years Ending December 31, 2013 and 2014
	2014	2013
Revenue	$14,147,284	$13,566,242
Cost of goods sold	$-8,447,972	$-8,131,820
Selling, general, and administrative expenses	$-998,929	$-980,567
Depreciation	$-1,498,902	$-1,471,804
EBIT	$3,201,481	$2,982,051
Interest expense	$-376,550	$-355,690
Taxes	$-1,073,474	$-998,017
Net income	$1,751,457	$1,628,344

Tyler Toys, Inc.
Balance Sheet as of December 31, 2013 and 2014
ASSETS	2014	2013	LIABILITIES	2014	2013
Current assets			Current liabilities
Cash	$190,960	$187,717	Accounts payable	$1,546,438	$1,456,557
Investments	$180,694	$121,981	Short-term debt	$312,991	$332,368
Accounts receivable	$668,874	$631,942	Total current liabilities	$1,859,429	$1,788,925
Inventory	$587,460	$564,107	Long-term liabilities
Total current assets	$1,627,988	$1,505,747	Debt	$7,285,831	$6,604,692
Long-term assets			Other liabilities	$1,463,135	$1,346,661
Investments	$3,053,885	$2,827,209	Total liabilities	$10,608,395	$9,740,278
Plant, property, and equipment	$8,496,835	$8,480,917	OWNERS EQUITY
Goodwill	$347,017	$347,567	Common stock	$1,458,918	$1,453,692
Intangible assets	$1,157,027	$957,595	Retained earnings	$2,615,439	$2,925,065
			Total owners equity	$4,074,357	$4,378,757
			TOTAL LIABILITIES
TOTAL ASSETS	$14,682,752	$14,119,035	AND OWNERS EQUITY	$14,682,752	$14,119,035

Calculate the profit margin, return on assets, and return on equity for 2013 and 2014 for Tyler Toys. Should any of these ratios or the change in a ratio warrant concern for the managers of Tyler Toys or theshareholders?

What is the profit margin for 2014?

(Round to two decimal places.)

What is the profit margin for 2013?

(Round to two decimal places.)

What is the return on assets for 2014?

(Round to two decimal places.)

What is the return on assets for 2013?

(Round to two decimal places.)

What is the return on equity for 2014?

(Round to two decimal places.)

What is the return on equity for 2013?

(Round to two decimal places.)

Should any of these ratios or the change in a ratio warrant concern for the managers of Tyler Toys or the shareholders?(Select the best response.)

A.These ratios indicate a somewhat weak firm performance for the equity holders with an ROE of over 42.99 %for 2014.

B.These ratios indicate a somewhat strong firm performance for the equity holders with an ROE of over 42.99% for 2013.

C.These ratios indicate a somewhat weak firm performance for the equity holders with an ROE of over 42.99%for 2013.

D.These ratios indicate a somewhat strong firm performance for the equity holders with an ROE of over 42.99% or 2014.

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