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The Du Pont Identity Is Defined as The

Question 200

Multiple Choice

The Du Pont identity is defined as the:


A) Profit margin times the total asset turnover times the equity multiplier.
B) Profit margin times the inventory turnover times the equity multiplier.
C) Return on equity times the profit margin times the total asset turnover.
D) Return on equity times the total asset turnover times the equity multiplier.
E) Return on assets times the total asset turnover times the profit margin.

Correct Answer:

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