Using the DuPont method, evaluate the effects of the following relationships for the Butters Corporation....
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Using the DuPont method, evaluate the effects of the following relationships for the Butters Corporation. a. Butters Corporation has a profit margin of 5.5 percent and its return on assets (investment) is 8.75 percent. What is its assets turnover? Note: Round your answer to 2 decimal places. b. If the Butters Corporation has a debt-to-total-assets ratio of 65.00 percent, what would the firm's return on equity be? Note: Input your answer as a percent rounded to 2 decimal places. c. What would happen to return on equity if the debt-to-total-assets ratio decreased to 60.00 percent? Note: Input your answer as a percent rounded to \\( \\mathbf{2} \\) decimal places
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Using the DuPont method, evaluate the effects of the following relationships for the Butters Corporation. a. Butters Corporation has a profit margin of 5.5 percent and its return on assets (investment) is 8.75 percent. What is its assets turnover? Note: Round your answer to 2 decimal places. b. If the Butters Corporation has a debt-to-total-assets ratio of 65.00 percent, what would the firm's return on equity be? Note: Input your answer as a percent rounded to 2 decimal places. c. What would happen to return on equity if the debt-to-total-assets ratio decreased to 60.00 percent? Note: Input your answer as a percent rounded to \\( \\mathbf{2} \\) decimal places 