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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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