Firm A has a Return on Equity (ROE) equal to 24%, while firm B has an ROE of 15% during the same year. Both firms have a total debt ratio (D/V) equal to 0.8. Firm A has an asset turnover ratio of 0.9, while firm B has an asset turnover ratio equal to 0.4. From this we know that

a. Firm A has a higher net profit margin than firm B.

b. Firm A has a lower net profit margin than firm B.

c. Firm A and B have the same net profit margin.

d. There is not enough information provided to determine whether Firm A has a higher, lower or the same net profit margin as Firm B.

On December 31, 2020, Russel, Inc. reported retained earnings of $110,000. In 2021, Russel, Inc. had revenues of $85,000 and expenses of $45,000. In addition, the business paid cash dividends in 2021 of $35,000. Given this information, what was Retained Earnings on Russel, Inc.s balance sheet on December 31, 2021?

a. $100,000 b. $115,000 c. $130,000 d. $155,000 e. None of the answers listed above is the correct answer to this question.