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  3. though the return on assets (roa) for firm a is no

Though the return on assets (ROA) for Firm A is not equal to the return...

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Finance

Though the return on assets (ROA) for Firm A is not equal to the return on equity (ROE) for the firm, it is still possible that the equity multiplier of the firm is equal to 1.

Do you agree the above statement? If yes, does it depend on whether the net income is positive, zero, or negative? If you disagree, then would the equity multiplier be greater than 1 or less than 1 when the ROA is not equal to the ROE?

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