FSA investment, structure, increase, capital, please

badonkus

8% of X's income comes from investment in associate and is accounted by equity method.
Assoc. was financed by 30% debt. X's capital structure is 25 debt, 75% equity.
in adjusting analyst will most likely increase:
a.net profit margine
b. Financial leverage ratio
c. Total asset turnover ratio



please explain briefly the answer