A firm has current assets of $50 million and fixed assets of $75 million. The firm's current liabilities is $25 million. The firm has a debt ratio of 40%. The firm has sales of $500 million and net income of $60 million. What is the firm's ROA?

		10%
		12%
		48%
		80%

If sales increase by 8% and net profit increases by 6%, which of the following will happen? Assume other information stays the same.

		debt ratio will decrease
		gross profit margin will increase
		return on assets will increase
		return on equity will decrease