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(G&G) operate a fast-growing business. The company looks to acquire additional companies as a strategy to accelerate its growth. The company has identified (P&L) as

(G&G) operate a fast-growing business. The company looks to acquire additional companies as a strategy to accelerate its growth. The company has identified (P&L) as a target company for purchase. Operating results for the two companies are as follows:

G&G P&L
Sales 800,000 240,000
Variable Expenses 480,000 180,000
Contribution Margin 320,000 60,000
Fixed Expenses 200,000 42,000
Net Income 120,000 18,000
Assets 500,000 100,000

Select the correct Dupont ratio(s). NOTE: "Overall Results" reflect DuPont ratios if the two companies were combined (added together).

Group of answer choices

P&L: ROI = 7.50%

Overall results: ROI = 21.0%

None of the other answers are correct

Overall results: Margin = 18.0%

G&G: Asset turnover = 1.60

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