The Following Information Is Provided for Nguyen Company and Northwest

question 110

Multiple Choice

The following information is provided for Nguyen Company and Northwest Corporation. $\begin{array}{lll}\text { (in } \$ \text { millions) }&\text { Nguven Company }&\text { Northwest Corporation }\\\text { Net income } 2017 & \$ 165 & \$ 420 \\\text { Net sales } 2017 & 1,650 & 4,900 \\\text { Total assets } 12 / 31 / 15 & 1,000 & 2,400 \\\text { Total assets } 12 / 31 / 16 & 1,050 & 3,000 \\\text { Total assets } 12 / 31 / 17 & 1,150 & 4,000\end{array}$ If Nguyen and Northwest are in the same industry and the industry average for return on assets is equal to 30%, which of the following statements is true?

• A)Nguyen is more profitable than the average company in its industry.
• B)Northwest is more profitable than Nguyen.
• C)Both Nguyen and Northwest are more profitable than the average company in their industry.
• D)Nguyen is more profitable than Northwest.