White Memorial Hospital has a total (profit) margin of 4.0 percent on revenues of $10 million. Its assets total $5 million and it uses $2 million total in debt financing. What is the hospital's return on equity (ROE)? (Hint: Use the Du Pont equation.)

a. 13.3%

b. 12.0%

c. 10.3%

d. 7.6%

e. 5.3%