What is return on equity, Suppose a firm’s EBT is $3

What is return on equity

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Reference no: EM131921763

Suppose a firm’s EBT is $3 million and its tax rate is 35%. The firm has $65 million in total assets and $55 million in total liabilities. The firm pays out 40% of its earnings and has a current dividend of $4.00. If the current price of the firm’s shares is $25, what is the return on equity?

Reference no: EM131921763

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