Question
Using your answers from your ratio calculations, apply the DuPont formula to further analyze your ratio calculations. The Drop down item choices for question one
Using your answers from your ratio calculations, apply the DuPont formula to further analyze your ratio calculations.
The Drop down item choices for question one and 2 are: Profit Margin,Gross Margin,Debt to Equity Ratio,Current Ratio, Return on Assets (ROA),Return on Equity (ROE),Leverage Ratio
for the Assume the industry average for profit margin is 4.9%, asset turnover 0.90, and leverage ratio 3.1.questions the the drop down item from each first line is either higher or lower, and the drop down items for each second line is ;has a greater return on its sales, has a lower return on its sales, is less efficient at using its assets to generate sales dollars, carries less debt,carries more debt
DuPont Analysis Using your answers from your ratio calculations, apply the DuPont formula to further analyze your ratio calculations. DuPont Analysis Use the DuPont formula to further analyze your ratio calculations. First, begin by outlining the basic DuPont formula using the drop down menus below. Enter the formula in the order shown in CogBooks. Next, outline the more detailed DuPont formula by separating Return on Assets (ROA) into its two components. Enter the formula in the order shown in CogBooks. Then, enter amounts using your answers from the ratios. For profit margin and your final answer for Return on Equity, do not convert to a percentage, keep in decimal format (e.g. 0.67). Round answers to two decimal places. = Assume the industry average for profit margin is 4.9%, asset turnover 0.90 , and leverage ratio 3.1. Based on this information, answer the following questions. Your company's profit margin is Your company's asset turnover is Your company's leverage ratio is than the industry average. This indicates your company than the industry average. This indicates your company than the industry average. This indicates your companyStep by Step Solution
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