Explain what balance sheet and income statement items lead


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As a stock analyst you are comparing performance between a discount merchandiser and a high-end merchandiser through a ratio analysis. Suppose that both companies have identical ROEs. If you apply the DuPont equation to both firms, would you expect the three components to be the same for both companies? If not, explain what balance sheet and income statement items might lead to the differences in the DuPont equation components.

The response should include a reference list. One-inch margins, Using Times New Roman 12 pnt font, double-space and APA style of writing and citations.

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Accounting Basics: Explain what balance sheet and income statement items lead
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