Select all true statements

Question 5 options:

	Return on Equity is affected by depreciation and interest expense
	Return on Equity indicates how many sales are generated for a dollar of assets
	Return on Assets is always greater than 1
	Absent any other information, a high ROE is preferred to a low ROE
	Net profit margin states net income as a percentage of sales (or revenues)

Select all true statements

Question 6 options:

	The DuPont equation gives insight on what impacts ROE
	The DuPont equation decomposes Assets into equity and leverage
	According to the DuPont equation, out of two firms with the same ROA, the one with higher financial leverage will produce the higher ROE
	The DuPont equation illustrates that a firm's ROE depends on profit margin, total asset turnover and financial leverage