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Author Question: Which of the following statements is correct? (Read 5 times)

desireelg_7

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Which of the following statements is correct?

If two firms have identical ROA and assets, the firm with a higher debt ratio will have a lower ROE than the firm with a lower debt ratio. 


If two firms have identical sales, interest rates paid, operating costs, and assets, but differ in the way they are financed, the firm with more debt will generally have the lower expected ROA.


A firm with lower financial leverage will have a lower equity multiplier than an otherwise identical firm witha higher financial leverage.


If two firms have identical sales, interest rates paid, operating costs, and assets, but differ in the way they are financed, the firm with more debt will generally have the lower expected ROE.



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Marked as best answer by desireelg_7 on Aug 7, 2023

Tussalpain

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Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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desireelg_7

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Reply 2 on: Aug 7, 2023
YES! Correct, THANKS for helping me on my review


T4T

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Reply 3 on: Yesterday
Excellent

 

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