Company A and Company B have the same total assets, Return on Assets (ROA), and profit margin. However, Company A has higher liability-to-asset ratio and interest expense than Company B. Which of the following statements is most correct?

Select one:

a.Company B has a lower total assets turnover than Company A.

b.Company B has a higher ROE than Company A.

c.Company B has a lower net income than Company A.

d.Company B has a lower operating income (EBIT) than Company A.

e.Company B has a higher equity multiplier (EM) than Company A.