-Prepare a 175 words quality, substantive post that addresses the question below
-Discussion post is attached please review and provide additional source.
It is interesting that all of these topics are in one week. I am curious if you have put any thought into how they all relate to eachother? I want to expand on what you wrote regarding the Dupont Formula, you are correct in your definition, but how does it provide a more accurate picture and how is it related to the other topics?
The expanded formula is as follows,
In reality, if you do the algebra, it is just net income / Equity, which is the formula for return on equity. Why do companies just not use the return on equity formula? What are the benefits of expanding the analysis?
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