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Which of the Following Choices Would Be Guaranteed to Increase

Question 53

Multiple Choice

Which of the following choices would be guaranteed to increase a firm's ROE if the ROA is currently 10% and the leverage ratio equals 1.0?


A) Decrease the leverage ratio
B) Increase the debt burden from its current level
C) Decrease assets from the current level
D) Decrease the debt burden from its current level

Correct Answer:

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