McDowell Inc. has $1,500,000 of assets, and it uses only common equity capital (zero debt).Its sales for the last year were $2,000,000, and its net income was $150,000. Stockholders recently voted in a new management team that has promised to lower costs and get the return on equity up to 15%.What profit margin would McDowell need to achieve the 15% ROE?Assume that the new actions will have no effect on total assets and sales, and it will not change the company's determination to use 100% equity to finance its operations.

a.11.25%

b.12.50%

c.15.00%

d.16.25%

e.17.10%