The DuPont Identity Can Be Used to Help Managers Answer

Multiple Choice

The DuPont identity can be used to help managers answer which of the following questions related to a company's operations?
I. How many sales dollars are being generated per each dollar of assets?
II. How many dollars of assets have been acquired per each dollar in shareholders' equity?
III. How much net profit is being generating per dollar of sales?
IV. Does the company have the ability to meet its debt obligations in a timely manner?

A) I and III only
B) II and IV only
C) I, II, and III only
D) II, III and IV only
E) I, II, III, and IV