Wei and Bo are two retailers that have the same ROE for one year. Here is the basic three-factor DuPont data:

Ratio	Wei	Bo
Profit Margin	40%	10%
Total Asset Turnover	0.5	12
Financial Leverage	3	0.5

A. Wei may have a higher cost of goods (inferior cost control), all else equal.

B. All else equal, Bo has higher interest burden.

C. All else equal, Wei may have higher sales volume.

D. When economy is bad, the leverage ratio suggests Wei may have cash flow problem.