If Two Companies Have the Same ROE, They Will Also

question 89

True/False

If two companies have the same ROE, they will also have the same ROA.

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Definitions:

Independent Variable

The factor or condition that researchers manipulate in an experiment to explore its impact on a dependent variable.

Dependent Variable

In research and experiments, it is the outcome factor that is measured to see if it changes as a result of the manipulation of the independent variable.

Experimental Research

A systematic and scientific approach to research in which the researcher manipulates one or more variables to determine their effect on a certain outcome.

Confounding Variables

Factors other than the independent variable that might influence the outcome of an experiment, making it difficult to isolate the effect of the independent variable.