Retailers Inc

Multiple Choice

Retailers Inc.and Computer Corp.each have assets of $10,000 and a return on common equity equal to 15%.Retailers has twice as much debt and twice as many sales relative to Computer Corp.Retailers' net income equals $750,and its total asset turnover is equal to 3.What is Computer Corp.'s profit margin?

A) 2.50%
B) 5.00%
C) 7.50%
D) 10.00%
E) 12.50%