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A financial analysis done on a company reveals their net profit margin is 8.2%, total asset turnover ratio was 4.3%, and the leverage multiplier was
A financial analysis done on a company reveals their net profit margin is 8.2%, total asset turnover ratio was 4.3%, and the leverage multiplier was 1.10. What is the company's ROE?
- What is the company's ROE?
- If we consider a high ROE to be one over 100%, what does the ROE found in part A tell us about the company?
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