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Samsung has sales of $44,000 and a net income of $21,000. Total assets are $50,000 and total equity is $35,000. The consumer electronics industry as

Samsung has sales of $44,000 and a net income of $21,000. Total assets are $50,000 and total equity is $35,000.

The consumer electronics industry as a whole has the following characteristics:

Ratio Value
Profit margin 0.137
Total asset turnover 0.941
Equity multiplier 1.8
Return on equity 0.232

What is Samsung's profit margin?

What is Samsung's total asset turnover?

What is Samsung's equity multiplier?

What is Samsung's return on equity?

Which is the main factor explaining why Samsung has a greater ROE than the industry?

-Higher profit margin

-Higher equity multiplier

-Higher total asset turnover

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