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5 Fire Prevention Corporation has a profit margin of 8.7%, total asset turnover of 1.9, and ROE of 18.64%. Required: of 1. What is the debt-equity ratio? Lion 2. Why would we calculate the DuPont Identity? What information does the DuPont Identity tell us? 3. JRS Fire Prevention is the direct competitor to Fire Prevention Corporation. JRS Fire Prevention has a profit margin of 10.9%, total asset turnover of 1.2, and ROE of 25%. If you were an investor, which company would you prefer to invest in and why? 1 A % ! c