A firm has sales of s 1, 200, net income of $200, net fixed assets of $500, and current assets of $300. The firm has $100 in inventory. What is the common-size statement value of net income? a. 12.5 percent b. 16.67 percent c. 20.0 percent d. 33.3 percent e. 50.0 percent Which one of the following statements is correct concerning ratio analysis? A. A single ratio is often computed differently by different individuals. B. Ratios do not address the problem of size differences among firms. C. There are only a very limited number of ratios which can be used for analytical purposes. D. Each ratio has a specific formula that is used consistently by all analysts. E. Ratios cannot be used for comparison purposes over periods of time. If a firm has a 100 percent dividend payout ratio, then the internal growth rate of the firm is A. 100 percent. B. zero percent. C. equal to the ROA. D. negative. E. infinite. The only difference between Joe's and Moe's is that Joe's has old, fully depreciated equipment. Moe's just purchased all new equipment which will be depreciated over eight Assuming all else equal: A. Joe's will have a lower profit margin, B. Joe's will have a lower return on equity. C. Moe's will have a higher net income. D. Moe's will have a lower profit margin. E. Moe's will have a higher return on assets. The sustainable growth rate: A. assumes there is no external financing of any kind. B. is normally higher than the internal growth rate. C. assumes the debt-equity ratio is variable. D. is based on receiving additional external debt and equity financing. E. assumes that 100% of all income is retained by the firm