Question: Given Ratio based on ending balances Year -1 Year 1 Year 2 Net profit (NP) $12,500 $13,750 $14,125 Total sales (TS) $290,000 $295,800 $301,716 Total
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| Ratio based on ending balances |
| Year -1 | Year 1 | Year 2 |
| Net profit (NP) |
| $12,500 | $13,750 | $14,125 |
| Total sales (TS) |
| $290,000 | $295,800 | $301,716 |
| Total assets (TA) |
| $200,000 | $190,000 | $180,500 |
| Total equity (TE) |
| $60,000 | $60,600 | $61,206 |
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What is the solution?
1. Find ROS%; ROA%; TAT; EM%; ROE%, assume;
a. ending balances,
b. average balances
2. Use DuPont Model to find ROE%, show all your calculations
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