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For the fiscal year 2020, Tala Stores Inc. had total revenues of $400 million, net income of $18 million, total assets of $200 million, and

For the fiscal year 2020, Tala Stores Inc. had total revenues of $400 million, net income of $18 million, total assets of $200 million, and total shareholders equity of $80 million. use the DuPont analysis to answer the following questions:

Equity multiplier?

Answer 1Choose...18.75%2.5 Times4.70%2%2.089 times5.2 Times2.61 Times22.50%5.6 Times2 times5.20%4.50%
If Tala's managers wanted to increase its ROE by one percentage point, how much higher would their asset turnover need to be, all other ratios are the same? Answer 2Choose...18.75%2.5 Times4.70%2%2.089 times5.2 Times2.61 Times22.50%5.6 Times2 times5.20%4.50%

Asset turnover

Answer 3Choose...18.75%2.5 Times4.70%2%2.089 times5.2 Times2.61 Times22.50%5.6 Times2 times5.20%4.50%

ROE (DuPont)?

Answer 4Choose...18.75%2.5 Times4.70%2%2.089 times5.2 Times2.61 Times22.50%5.6 Times2 times5.20%4.50%

If Tala's managers wanted to increase its ROE by one percentage point, how much higher would their net profit margin need to be, all other ratios are the same?

Answer 5Choose...18.75%2.5 Times4.70%2%2.089 times5.2 Times2.61 Times22.50%5.6 Times2 times5.20%4.50%

If Tala's managers wanted to increase its ROE by one percentage point, how much higher would their equity multiplier need to be, all other ratios are the same?

Answer 6Choose...18.75%2.5 Times4.70%2%2.089 times5.2 Times2.61 Times22.50%5.6 Times2 times5.20%4.50%

Net profit margin?

Answer 7Choose...18.75%2.5 Times4.70%2%2.089 times5.2 Times2.61 Times22.50%5.6 Times2 times5.20%4.50%

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