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Identify discount rates in pv models

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Most of the time, we don't identify discount rates in PV models as being either a ROE or a ROA. Instead we seem to prefer to identify the defender's ROA with the letter "r". Why do we tend to prefer ROA to ROE measures? Can you describe a case when it would be important to evaluate the projects using the defender's ROE instead of its ROA?

Reference no: EM133086807

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