Which of the following statements regarding profitability ratios is not true?

Group of answer choices

When computing the return on equity, retained earnings is excluded from average total stockholders$$ equity.

When computing the return on total assets, net income is adjusted to reflect the return to both the creditors and the stockholders.

The net profit margin percentage reflects the effects of operating income, interest expense, and income taxes.

The equity multiplier measures the average amount of financial leverage maintained throughout year.