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Use the following financial information for AT&T and Verizon to conduct a DuPont system of analysis for each company. AT&T Verizon Sales $ 1 8
Use the following financial information for AT&T and Verizon to conduct a DuPont system of analysis for each company.
AT&T
Verizon
Sales
$ comma
$ comma
Earnings available for common stockholders
comma
comma
Total assets
comma
comma
Stockholders equity
comma
comma
a Which company has the higher net profit margin? Higher asset turnover?
b Which company has the higher ROA? The higher ROE?
c Which company has the higher financial leverage multiplier?
Question content area bottom
Part
a Net profit margin Round to three decimal places.
AT&T
Verizon
Net profit margin
Part
Verizon
AT&T
has the higher net profit margin.Select the best answer from the dropdown menu.
Part
Total assets turnoverRound to three decimal places.
AT&T
Verizon
Total assets turnover
Part
AT&T
Verizon
has the higher total assets turnover.Select the best answer from the dropdown menu.
Part
b Return on total assetsRound to three decimal places.
AT&T
Verizon
Return on total assets
Part
Verizon
AT&T
has the higher return on total assetsROASelect the best answer from the dropdown menu.
Part
Return on equityRound to three decimal places.
AT&T
Verizon
Return on equity
Part
AT&T
Verizon
has the higher return on equityROESelect the best answer from the dropdown menu.
Part
c Which company has the higher financial leverage multiplier? Round to two decimal places.
AT&T
Verizon
Financial Leverage Multiplier
Part
AT&T
Verizon
has the higher financial leverage multiplier.Select the best answer from the dropdown menu.
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