What is the firm NOPAT and Economic Profit

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The all equity firm (it has no debt and so pays no interest) has shareholders who require 10% return on their invested capital. All of the firm’s capital is tied up in operating activities. The firm’s ROIC = 16%. Earnings before tax is $100 and the firm’s tax rate is 40%. What is the firm’s NOPAT and Economic Profit?

Reference no: EM131089262

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