Question
A company has Net Sales of ₹1,000 lakhs, Net Profit of
₹80 lakhs, Total Assets of ₹750 lakhs, and Equity of ₹250 lakhs. Calculate Return on Equity (ROE) using the DuPont formula and identify the major driver of profitability.Solution
ROE = (Net Profit / Sales) × (Sales / Assets) × (Assets / Equity) = (80/1000) × (1000/750) × (750/250) = 0.08 × 1.33 × 3 = 31.92 ≈ 32% High leverage (2× equity) is the key multiplier → Option C
Who among the following pair of persons are sitting opposite to each other?
I. WM
II. YN
III. UM
IV. VO
Seven girls A, B, C, D, E, F and G sit in a row facing towards the north (not necessarily in the same order). D sits fifth to the right of A. D does not...
Who amongst the following reads The Hindu?
Four of the following five are alike in a certain way and hence form a group. Who among the following person does not belong to that group?
Who is sitting to the immediate right of B?
The number of persons sits between E and K is the same as between I and _____, when counted from the right of both K and I?
How many seats are between M and K when counted from the left of K?
Four of the five among the following are similar in such a way to form a group, which one of the following doesn’t belong to group?
How many persons sit between V and R when counted from the right of R?
What is the position of C with respect to D?
