Calculate the ROE using the DuPont Model for a company with the following data:

Profit margin = 16%

Total Asset Turnover = 1.3

Inventory Turnover = 1.1

Equity Multiplier = 1.4

Current Ratio = 0.9

A)19%

B)92%

C)25%

D)29%

E)16%

Calculate the ROE using the DuPont Model for a company with the following data: Profit margin = 16% Total Asset Turnover = 1.3 Inventory Turnover = 1.1 Equity Multiplier = 1.4 Current Ratio = 0.9 A)19% B)92% C)25% D)29% E)16%

Which of the following is TRUE regarding Company ABC given the following information? Current Assets = $400 Fixed Assets =$120 Current Liabilities = $200 Long term Debt = $75 Sales = $240 Net Income = $50 A)Current Ratio = 3.5 B)Asset turnover=3.5 C)Shareholders Equity = $110 D)Debt to equity ratio= 1.08 E)Return on Equity = 20%

What of the following is true about stock buybacks?A)Returns less cash to investors B)Does not commit company to pay dividends C)Decrease Stock price D)Increases equity E)Tax savings