Observe That a Firm's ROE Is Above the Industry Average

question 65

Multiple Choice

observe that a firm's ROE is above the industry average, but its profit margin and debt ratio are both below the industry average.Which of the following statements is CORRECT?

• A)Its total assets turnover must be above the industry average.
• B)Its return on assets must equal the industry average.
• C)Its TIE ratio must be below the industry average.
• D)Its total assets turnover must be below the industry average.
• E)Its total assets turnover must equal the industry average.

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