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North Company Reports the Following Amounts for 2017 The 2017 Rate of Return on Common Stockholders' Equity Is

question 125

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North Company reports the following amounts for 2017:  Net income $160,000 Average stockholders’ equity 2,000,000 Preferred dividends 45,000 Par value preferred stock 250,000\begin{array}{lr}\text { Net income } & \$ 160,000 \\\text { Average stockholders' equity } & 2,000,000 \\\text { Preferred dividends } & 45,000 \\\text { Par value preferred stock } & 250,000\end{array} The 2017 rate of return on common stockholders' equity is:

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