(a) Apply a DUPONT analysis on Company A.

(b) Calculate the return on equity (ROE) for Company B.

(c) Compare the ROE of Company A and ROE of Company B from the perspective of DUPONT Analysis.

(d) Explain the economic meanings of the net profit margin, asset turnover ratio, and financial leverage.

(e) Explain the differences between company A and company B in terms of business strategy and financial policies.

Company A is an automobile sale company. You are tasked to analyse the company's financial statement to compare your analysis result with the financial ratios of its main competitor, Company B. The relevant financial information is as follows: (1) Company A's selected financial statement data for FY2020. Selected Balance Sheet Data ($000) Cash Accounts receivable, net Prepaid expenses Inventory Property, plant and equipment, net Total Assets Current liabilities Non-Current Liabilities Total Liabilities Shareholder's equity 1050 1750 300 1200 3700 8000 3500 500 4000 4000 Selected Income Sheet Data Sales Cost of Goods Sold Selling, General, and Administrative Expense Interest expense Income Tax expense Net Profit 10000 6500 1860 40 400 1200 Assume that the year-end balance of the balance sheet items can represent the annual average level. (2) Related Financial Ratios of Company B for FY2020 Net Profit Margin 24% Asset turnover ratio 0.6 Financial Leverage 1.5