Question
Which of the following are correct with respect to Impact of Impairment on Ratio analysis? A. Future ROA and ROE increase due to lower assets
Which of the following are correct with respect to Impact of Impairment on Ratio analysis?
| A. | Future ROA and ROE increase due to lower assets and equity, higher NI with depreciation down | |
| B. | Current year ROA and ROE decrease because of decrease in net income is larger than the leverage (total assets/total equity) ratio | |
| C. | Neither A nor B is correct
| |
| D. | Both A and B are correct |
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Finance A Quantitative Introduction
Authors: Nico Van Der Wijst
1st Edition
1107029228, 978-1107029224
