Duffert Industries has total assets of $970, 000 and total current liabilities (consisting only of accounts payable and accruals) of $115,000. Duffert finances using only long-term debt and common equity. The interest rate on its debt is 9% and its tax rate is 25%. The firm's basic earning power ratio is 17% and its debt - to capital rate is 40% What are Duffert's ROE and ROIC? Do not round your intermediate calculations. Group of answer choices a. 12.68%; 14.03% b.13.63%; 14.46% с 10.90%; 12.44% d. 15.54%; 16.06% e. 8.86%; 12.73%

Duffert Industries has total assets of $970, 000 and total current liabilities (consisting only of accounts payable and accruals) of $115,000. Duffert finances using only long-term debt and common equity. The interest rate on its debt is 9% and its tax rate is 25%. The firm's basic earning power ratio is 17% and its debt - to capital rate is 40% What are Duffert's ROE and ROIC? Do not round your intermediate calculations. Group of answer choices a. 12.68%; 14.03% b.13.63%; 14.46% с 10.90%; 12.44% d. 15.54%; 16.06% e. 8.86%; 12.73%

Corporate Fin Focused Approach

5th Edition

ISBN:9781285660516

Author:EHRHARDT

Publisher:EHRHARDT

Chapter3: Analysis Of Financial Statements

Section: Chapter Questions

Problem 1STP

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