Question
Balance Sheet current asset 2500 PP&E 3400 Total Asset 5900 Debt 2600 Stockholders equity 3300 Income Salse 20650 total cost 19580 net income 1070 this
Balance Sheet
current asset 2500
PP&E 3400
Total Asset 5900
Debt 2600
Stockholders equity 3300
Income
Salse 20650
total cost 19580
net income 1070
this company is in an industry that has
net profit margin of 5.29%
debt-to-asset ratio 54.9%
ROE 41.83%
select one statement most consistent with DuPont Analysis
the company's asset turnover indicates sales are unusually small relative to its assets
the company's equity multiplier indicates the firm has an unusually large debt burden
the company's profit margin indicates its revenues are unusually large relative to its costs
the company's profit margin indicates its revenues are unusually small relative to its costs
the company's equity multiplier indicates the firm has an unusually small debt burden
SW Inc, financial statements for 2017 show Balance Sheet, 12/31/2525 $2.500 Current assets $2,600 Debt $3,400 PP&E $3,300 Stockholders' equity $5,900 Total assets $5,900 Income 1/1 - 12/31/2525 Sales $20,650 total costs $19,580 net income $1,070 SW Inc. is in an industry where the average net profit margin is 5.29%, the debt-to-asset ratio (= Debt / Total assets) is 54.9%, and return on equity is 41.83%. For the company relative to the industry, select the one statement most consistent with the DuPont analysis. the company's asset turnover indicates sales are unusually small relative to its assets the company's equity multiplier indicates the firm has an unusually large debt burden the company's profit margin indicates its revenues are unusually large relative to its costs the company's profit margin indicates its revenues are unusually small relative to its costs the company's equity multiplier indicates the firm has an unusually small debt burdenStep by Step Solution
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