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... the same for all 3 projections (see exhibit C). However, the return on asset and equity are slightly different. For average projection with 55% increase on sale, its ROA is 6.98% and ROE is 17.69% (see exhibit C). The return on equity is not bad, but the return on asset is a little bit low due to a whole lot of assets had been invested. This situation also applies to the other 2 projections; optimistic with ROA 7.27% and ROE 18.40%; pessimistic with ROA 6.68% and ROE 16.93% (see exhibit C). The percentage of gross margin and total operating expenses to sales are the same, because the 3 projections are based on the projected percentage of sale. The gross margin to sale is 30% and operating expenses to sale is 23.6% (see exhibit A). Although the gross margin to sale is not a lot, the operating expense is not high percentage ...