Question: Answer the following FOUR questions based on the information provided below: We have the following information about Norton Corp: Debt-to-equity ratio 1.50 Net Profit Margin

Answer the following FOUR questions based on the information provided below:

We have the following information about Norton Corp:

Debt-to-equity ratio 1.50

Net Profit Margin 5%

Total Asset Turnover 2.0

  1. The company'sEquity Multiplierequals _______.

0.5

2.5

0.6

1.6

2.The company'sDebt Ratio (Total liability/total assets)equals _______.

0.8

0.6

0.4

0.2

3.The company'sROAequals ______.

12.5%

7.5%

5%

10%

4.Using the Dupont Equation, the company'sROEequals _______.

10%

20%

15%

25%

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