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A decomposition of ROE for Stansfield Inc. is as shown: FY18 FY19 ROE 18.9% 18.9% Tax Burden 0.8 0.75 Interest Burden 0.9 0.9 EBIT margin
A decomposition of ROE for Stansfield Inc. is as shown:
FY18 FY19 ROE 18.9% 18.9% Tax Burden 0.8 0.75 Interest Burden 0.9 0.9 EBIT margin 10.0% 10.0% Total Asset Turnover 1.25 1.4 Leverage 2.1 2
A reasonable analyst could conclude that from FY2018 to FY2019:
Group of answer choices Profitability is down while ROA is up Profitability is up and ROA is up Profitability is down while ROA is also down Profitability is up while ROA is up
A decomposition of ROE for Stansfield Inc. is as shown:
| FY18 | FY19 | |
| ROE | 18.9% | 18.9% |
| Tax Burden | 0.8 | 0.75 |
| Interest Burden | 0.9 | 0.9 |
| EBIT margin | 10.0% | 10.0% |
| Total Asset Turnover | 1.25 | 1.4 |
| Leverage | 2.1 | 2 |
A reasonable analyst could conclude that from FY2018 to FY2019:
Group of answer choices
Profitability is down while ROA is up
Profitability is up and ROA is up
Profitability is down while ROA is also down
Profitability is up while ROA is up
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