Exhibit 10 -Refer to Exhibit 10

Multiple Choice

Exhibit 10.9
Use the Information Below for the Following Problem(S)
You are provided with the following year end information for All Systems Corporation.
$\begin{array}{c}\begin{array}{lll}\text{Income Statement Data}\\\text{Sales}\\\text{Operating Income}\\\text{Depreciation}\\\text{Interest Expense}\\\text{Pretax Income}\\\text{Income Taxes}\\\text{Net Income after tax}\\\\\text{Balance Sheet Data}\\\text{Fixed Assets}\\\text{Total Assets}\\\text{Working Capital}\\\text{Total Debt}\\\text{Equity}\\\end{array}\begin{array}{lll}&&\end{array}\begin{array}{r}\\800 \\280 \\85 \\48 \\147 \\52 \\95\\\\\\810 \\1050 \\85 \\640 \\410\end{array}\end{array}$
-Refer to Exhibit 10.9.The industry norms for profit margin (PM) ,total asset turnover (TAT) ,and financial leverage are 10.9%,1.2,and 1.0,respectively.Based on this information it appears that All Systems Corporation is

A) Better than the industry in terms of PM, but worse in terms of TAT
B) Better than the industry for all three ratios
C) Better than the industry for TAT and leverage, but worse for PM
D) Worse than the industry for all three measures
E) None of the above