Return on equity using the dupont identity formula

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Oscar's Dog House has net profit of $56,000 and sales of 1,000,000. It has total asset of $8,000,000. Its book value / equity is $5,300,000 and it pays out pays out 35% of earnings as dividend.

a) What's its net profit margin, equity multiplier and total asset turnover ratio?

b) What is the return on equity using the DuPont Identity formula?

Reference no: EM132516131

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