Return of Common Equity
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I have a problem finding out about the ROE in this problem.
The following characteristics:
Sales $1,000
Total Assets $1,000
Total Debt/Total Assets 35%
EBIT $200
Tax Rate 40%
Interest Rate on Total Debt 4.57%
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Solution Summary
The solution explains how to calculate ROE.
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ROE = Net Income/Total equity
Total assets = 1,000
Total ...
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