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Assume the following: ROE PM TAT EM Marisa Inc 36% 9% 4 1 Dimple Corp 18% 4.5% 2 2 A. Dimple Corp does a better
Assume the following:
ROE PM TAT EM
Marisa Inc 36% 9% 4 1
Dimple Corp 18% 4.5% 2 2
A. Dimple Corp does a better job managing its assets.
B. Marisa Inc does a better job controlling its expenses.
C. Dimple Corp uses less debt financing than Marisa Inc.
D. Marisa Inc has a higher ROE simply because it uses more debt financing.
E. Marisa Inc does a poorer job controlling its expenses.
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