Question: You are considering a new supplier that you estimate would reduce your costs 0.007 , increasing overall EBIT margin the same amount, or 70 basis
You are considering a new supplier that you estimate would reduce your costs 0.007 , increasing overall EBIT margin the same amount, or 70 basis points. Using 5-way DuPont ratios, what would be the ROE after the changes are made? 0.2080 0.2190 0.2132 0.1953 0.2003
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