单选题 Study the following information, calculate the return on equity. The asset turnover (S/A) is 2.5. A leverage multiplier (A/E) is 1.2. An interest expense ratio (L/A) is 0.08. A tax retention rate (1-t) is 0.6. Pre-interest profit margin (EBIT/S) is 20 percent.

A、

A. 30%.
B、

B. 32%.
C、

C. 34%.

【正确答案】 A

【答案解析】ROE = [ (S/A) (EBIT/S) - (I/A) ] (A/EQ) (1 -t) ROE = [ (2.5) (0.2) - (0.08) ] (1.2) (0.6) =0.30 or 30%