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5 votes
Return on equity can increase as a result of an increase in which of the following ratios?

a. net income/ sales
b. sales/ total assets
c. total assets/ equity
d. All of the above will have a positive influence on the ROE.

1 Answer

3 votes
The right answer for the question that is being asked and shown above is that: "d. All of the above will have a positive influence on the ROE." Return on equity can increase as a result of an increase in net income/ sales, sales/ total assets, and total assets/ equity.
answered
User Matus Dubrava
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