Answer:
milano corporation has experienced growth of 20% for each of the last 5 years. over this 5-year period, milano's return on equity has never exceeded 15%, its profit margin has held steady at 5%, and its total asset turnover has not changed. over the 5-year period, milano paid no dividends and issued no new equity. based on this information, which of the following can you most likely infer about milano's performance over the past 5 years? a. milano's leverage has decreased. b. milano's leverage has remained constant. c. milano's leverage has increased. d. none of the options are correct.
Step-by-step explanation: