Which of the following statements is CORRECT? a. The DuPont equation provides information about how operations affect the ROE, but the equation does not include the effects of debt on the ROE. 6. Other things held constant, an increase in the total debt to total capital ratio will result in an increase in the profit margin. C. Suppose a firm's total assets turnover ratio falls from 1.0 to 0.9, but at the same time its profit margin rises from 9% to 10% and its debt increases from 40% of total assets to 60%. The firm finances using only debt and common equity, and total assets equal total invested capitali. Without additional information, we cannot rell what will happeri to the ROE. d. Suppose a firm's total assets turnover ratio falls from 1.0 ro 0.9, but at the same time its profit margin nises from 9% to 10 ton and is debt increases from 40% of total assets to 60%. The firm finances using anly debt and cammon equity, and total assets equal qotal inverted capital. Under these cnditions, the ROE will increase. e. Suppose a firm's total assets turnover ratio falls from 1.0 to 0.9, but at the same time its profit margint rises from 9 s. to 10% and its detit incretes from 40% of total assets to 60%. The firm finances using only debt and common equity; and total assets equal total invested capitat, Under these condisions, the ROE vill decrease