Excerpts from Hulkster Company's December 31, 2021 and 2020, financial statements are presented below: 2021 2020 Accounts receivable $ 40,000 $ 36,000 Merchandise inventory $ 28,000 35,000 Net sales 190,000 186,000 Cost of goods sold 114,000 108,000 Total assets 425,000 405,000 Total shareholders' equity 240,000 225,000 Net income 32,500 28,000 Hulkster's 2021 return on assets is (rounded):

7.8%

Explanation:

The formula and the computation of the return on assets is shown below:

Return on assets = (Net income) ÷ (average of total assets)

where,

Net income is $32,500

And, the average of total assets equal to

= (Beginning assets + ending assets) ÷ 2

= ($405,000 +$425,000) ÷ 2

= $415,000

So, the return on assets is

= $32,500 ÷ $415,000

= 7.8%

being born in poverty would limit the people's chances, opportunities and benefits.

this happen because of several things, such as:

- poor people tend to gain less access to good education and nutrition. this mean that their chance to obtain high paying jobs would also be limited.

- poor people tend to socialize with other poor people while the rich tend to socialize with other rich people. this means that simply throguh their social circle, rich people would have more business opportunities compared to the poor people.

- rich people tend to have more capital in their disposal. this would benefit them in business since it is far easier for them to fund their business operation compared to poor people.