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If managers want to earn a 12% ROA, how much profit must the company generate?
2. If managers want to earn a 15% ROA, how much profit must the company generate?
Non-current assets ……….. $ 1,260,000
Current assets …………. 250,000
Profit for the year ………. 170,000
Cost of debt (after tax) …….. 12%
Cost of equity …………. 12%
1 If managers want to earn a 12 ROA how
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