Using more debt lowers profits and thus the ROA. Why doesnt debt have the same negative effect

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Using more debt lowers profits and thus the ROA. Why doesn’t debt have the same negative effect on the ROE?

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Fundamentals Of Financial Management Concise Edition

ISBN: 9781285065137

8th Edition

Authors: Eugene F. Brigham, Joel F. Houston

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Question Posted: Jul 20, 2024 05:01 AM

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Using more debt lowers profits and thus the ROA. Why doesnt debt have the same negative effect on the ROE?
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Using more debt lowers profits and thus the ROA. Why doesnt debt have the same negative effect

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Fundamentals Of Financial Management Concise Edition

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