The profit margin = 4.5%, assets turnover = 2.2 times, equity multiplier = 2.7 times then return on assets will be __________?

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A0.094

B0.2673

C26.73 times

D0.4 times

Correct answer

B. 0.2673

Explanation

0.2673 is the correct answer. Review the question and compare it with the other choices to remember this fact for future exams.

The profit margin = 4.5%, assets turnover = 2.2 times, equity multiplier = 2.7 times then return on assets will be __________? - Answer and Explanation | Academy of Pakistan