ABC Berhad has a net profit margin of 8% and financial leverage multiplier of 2.2 times. What is the return on equity if the total asset turnover is 1.2 times?<?xml:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" />
A. 8%
B. 15%
C. 21%
D. 27%
Answer:C
ABC Berhad has a net profit margin of 8% and financial leverage multiplier of 2.2 times. What is the return on equity if the total asset turnover is 1.2 times?<?xml:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" />
A. 8% B. 15% C. 21% D. 27%