Question
Assume BDS acquired its main supplier, ABC. As a result of the acquisition, BDS finds that its operating profit margin increased but its ROA remained
Assume BDS acquired its main supplier, ABC. As a result of the acquisition, BDS finds that its operating profit margin increased but its ROA remained constant. A decrease in which one of these ratios is most apt to be the reason why the ROA did not increase with the increase in the operating profit margin? Multiple Choice
Leverage ratio
Market-to-book ratio
Asset turnover
Debt burden
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Contemporary Economics An Applications Approach
Authors: Robert Carbaugh
8th Edition
1138652199, 978-1138652194
