Question 1/20 Smile company has total assets of S6,000, net income of $1,500 sales of $8,400, and total equity of $3,200. If the common-size statement value of the interest expense is 4%, what is the dollar value of interest expense? 1. $336 2. $600 3. $840 4 $240 Next : A firm with a low return on total assets can improve its return on equity, all else remaining the same, by 1. O increasing its total asset turnover 2. decreasing its debt ratio 3. decreasing its total asset turnover 4 increasing its debt ratio