A Firm Has ROE of 5

question 16

Multiple Choice

A firm has ROE of 5.5% and an asset turnover ratio of 1.2.If the firm has 10 dollars in assets per dollar of equity,what is the firm's net profit margin?

• A)1.2%
• B)0.66%
• C)5.5%
• D)6.6%
• E)0.46%

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Definitions:

Compensation

The total amount of the monetary and non-monetary pay provided to an employee in exchange for work performed as required.

Safety Training Program

A structured course or set of procedures designed to educate employees about workplace safety and health regulations to reduce accidents and injuries.

Employee Workloads

The amount of work assigned to an employee in a given timeframe, impacting their productivity and well-being.

Social Interaction

The way people talk and act with each other, which includes a wide range of behaviors and modes of communication.