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Question: Profit Margins, Asset Turnovers, and Return on Net Operating Assets: A What-If Question (Medium) A firm earns a profit margin of3 .8 percent on sales of$435 million and employs net operating assets of $150 million to do so. It considers a dding another product line that will earn a 4.8 percent profit margin with an asset turnover of 2.3. What would be the effect on the firms return Gnnet operating assets of adding the new product line?

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