Take our DuPont equation quiz to check out your knowledge of accounting ratios used in double entry bookkeeping.
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Asset turnover = 3.50
Equity multiplier = 1.00
Return on equity = 30%
Using the Dupont analysis what is the net profit margin?
Asset turnover = 0.57
Equity multiplier = 1.75
Net profit margin = 20%
Using the Dupont analysis what is the Return on equity (ROE)?
Net profit margin = 10%
Equity multiplier = 2.50
Return on equity = 16.67%
Using the Dupont analysis what is the asset turnover?
Net income = 20,000
Revenue = 200,000
Equity = 120,000
Assets = 300,000
What is the net profit margin?
Net income = 30,000
Revenue = 150,000
Equity = 250,000
Assets = 140,000
What is the asset turnover?
Net income = 63,000
Revenue = 600,000
Equity = 210,000
Assets = 630,000
What is the equity multiplier?
(Net income / Revenue) x (Revenue / Assets) x (?)
Operating margin x Asset turnover x Financial cost ratio x ? x Tax effect ratio
Return on Equity (ROE) = ? x Equity multiplier
ROE = (Operating income / Revenue) x (Revenue / Assets) x (Income before tax / Operating income) x (Assets / Equity) x (Net income / Income before tax)
Try Another Double Entry Bookkeeping Quiz
The DuPont equation quiz is one of many of our online quizzes which can be used to test your knowledge of double entry bookkeeping, discover another at the links below.
- Quiz 44: Cash Receipts and Payments Transactions Quiz
- Quiz 49: Accounting Adjusting Entries Quiz
- Quiz 61: Declining Balance Method of Depreciation
- Quiz 43: Cash Flow Classification Quiz
About the Author
Chartered accountant Michael Brown is the founder and CEO of Double Entry Bookkeeping. He has worked as an accountant and consultant for more than 25 years and has built financial models for all types of industries. He has been the CFO or controller of both small and medium sized companies and has run small businesses of his own. He has been a manager and an auditor with Deloitte, a big 4 accountancy firm, and holds a degree from Loughborough University.