Question: The return on equity can be calculated as: Profit margin 1/Capital intensity ratio Equity multiplier. Return on assets b. Profit margin Total asset turnover Debt-equity
The return on equity can be calculated as:
Profit margin 1/Capital intensity ratio Equity multiplier.
Return on assets b.
Profit margin Total asset turnover Debt-equity ratio
Profit margin 1/Equity multiplier (1 + Debt-equity ratio).
Return on assets Debt-equity ratio
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
