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Company x has a profit margin of 0 . 0 8 , asset turnover of 2 . 0 , and equity multiplier of 5 .
Company has a profit margin of asset turnover of and equity multiplier of Which of the following needs to happen for their ROE to be equal to their ROA.
Profit margins have to increase
They have to pay all of their interest expense
They have to repay all of their debt and not borrow more
Sales have to increase
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