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Using the DuPont method, evaluate the effects of the following relationships for the Butters Corporation. a . Butters Corporation has a profit margin of 4
Using the DuPont method, evaluate the effects of the following relationships for the Butters Corporation.
a Butters Corporation has a profit margin of percent and its return on assets investment is percent. What is its assets
turnover?
Note: Round your answer to decimal places.
Assets turnover ratio
times
b If the Butters Corporation has a debttototalassets ratio of percent, what would the firm's return on equity be
Note: Input your answer as a percent rounded to decimal places.
Return on equity
c What would happen to return on equity if the debttototalassets ratio decreased to percent?
Note: Input your answer as a percent rounded to decimal places.
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