Comparative balance sheets for Softech Canvas Goods for 2021 and 2020 are shown below. Softech pays no dividends and instead reinvests all earnings for future growth.
Comparative Balance Sheets
($ in thousands)
December 31
2021 2020
Assets: Cash $ 86 $ 64 Accounts receivable 160 180 Short-term investments 74 64 Inventory 320 212 Property, plant, and equipment (net) 840 730 $ 1,480 $ 1,250 Liabilities and Shareholders’ Equity: Current liabilities $ 360 $ 270 Bonds payable 220 220 Paid-in capital 580 580 Retained earnings 320 180 $ 1,480 $ 1,250 Required:
1. Determine the return on shareholders’ equity for 2021. (Round your answer to 2 decimal places.)