Question 9 Company A has the same leverage and profitability as Company B. However, Company...
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Accounting
Question 9
Company A has the same leverage and profitability as Company B. However, Company A has a higher return on equity. Why is this?
Select an answer:
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Company B generates less profit per $100 of sales than Company A.
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Company B uses less equity to buy assets than Company A.
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Company A has more income than Company B.
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Company A generates more sales with its assets than Company B.
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