1. The Daily News had net income of $364 of which 42 percent was distributed to the shareholders as dividends. During the year, the company sold $80 worth of common stock. What is the cash flow to stockholders?

$306

$119

$233

$153

$73

2. The Purple Martin has annual sales of $4,900, total debt of $1,200, total equity of $2,400, and a profit margin of 6 percent. What is the return on assets?

8.17 percent

6.00 percent

11.11 percent

24.50 percent

12.25 percent