A firm's return on equity is a function of its net profit margin, and equity multiplier.
A)current ratio
B)cost of goods
C)total asset turnover
D)fixed asset turnover

Question

Quizplus · Accepted Answer

Return on equity (ROE) is calculated using the DuPont formula, which includes net profit margin, total asset turnover, and equity multiplier. Total asset turnover is a key component in this calculation.

A Firm's Return on Equity Is a Function of Its