based on the dupont model an equity multiplier greater than 1 will produce a return on equity that is higher than the return on assets. what is the trade-off to this effect? multiple choice question. higher equity results in reduced financial flexibility. higher leverage results in higher probability of default. higher leverage results in lower probability of default.

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07-10-2022
Business

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based on the dupont model an equity multiplier greater than 1 will produce a return on equity that is higher than the return on assets. what is the trade-off to this effect? multiple choice question. higher equity results in reduced financial flexibility. higher leverage results in higher probability of default. higher leverage results in lower probability of default.

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