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I know the DuPont ROE equation is (Net Profit Margin) x (Asset Turnover) x (Equity Multiplier), so from the Capsim Round Report I am calculating
I know the DuPont ROE equation is (Net Profit Margin) x (Asset Turnover) x (Equity Multiplier), so from the Capsim Round Report I am calculating it this way with these line items form the report:
(Net Profit/Revenue) x (Sales/Total Assets) x (Total Assets/Total Equity)
Is this correct?
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