on in assets with an ROA of 3%, what would happen to the ROE if the leverage ratio fell from 6% to 4% because of an increase in the use of borrowings?…

If a bank maintains $10 billion in assets with an ROA of 3%, what would happen to the ROE if the leverage ratio fell from 6% to 4% because of an increase in the use of borrowings?

The answer is ROE would increase from 50% to 75%

I need an explanation

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