Business & Finance Homework Help
Hi Dear ProfessorWould I like to know the company’s ROE & ROIC ?My
Hi Dear Professor
Get Your Custom Essay Written From Scratch
We have worked on a similar problem. If you need help click order now button and submit your assignment instructions.
Just from $13/Page
Would I like to know the company’s ROE & ROIC ?
My
company’s net income is $25,000, its interest expense is $5,000, and its tax rate is 40%. Its notes payable equals $25,000, long-term debt equals $75,000, and common equity equals $250,000. The company finances only with debt and common equity, so it has no preferred stock. What are the company’s ROE and ROIC?
Briefly comment on the usefulness of these two ratios for measuring the company’s financial performance.
