What is the return on assets in the business

Assignment Help Finance Basics
Reference no: EM132618565

Suppose the expected returns on equity of 2 firms Macrosoft and Microsoft, that operate in same business are 10.50% and 13.00% respectively. What is the return on assets in the business if Macrosoft has no debt?

Reference no: EM132618565

Questions Cloud

Discuss two topics and use the financial knowledge : Discuss two topics and use the financial knowledge to answer: a) determine the goal of a corporate firm, b) what can a manager do to achieve this goal?
Find out the number of shares to be issued : Find out the number of shares to be issued in each next three years. The equity shares have a market price of Rs. 100 per share and P/E ratio of 12.
What is annual interest tax? shield : a. Suppose Arnell pays interest of 8% per year on its debt. What is its annual interest tax? shield?
What percentage of the total votes does she control : Question - Betsy Ross owns 942 shares in the Hanson Fabrics Company. What percentage of the total votes does she control
What is the return on assets in the business : What is the return on assets in the business if Macrosoft has no debt?
Explaining what is an roi ratio : Explaining What is an ROI ratio? What are its advantages and disadvantages? also need help Using Word Document to make list of Balance Scorecard
How much of her loss is suspended : Donna invests $200,000 for a 10% interest in a limited partnership. She receives a K-1 with her loss at $80,000. How much of her loss is suspended?
Compare the roles of the practice and research scholar : Compare and contrast the roles of the practice (DNP) and research (PhD) scholar. How could these roles add value in addressing a practice problem at your.
What is percentage return on assets of business : Suppose CAPM holds, and the beta of equity of your company is 2.55. Expected market is risk premium is 5.00% and risk free rate

Reviews

Write a Review

Finance Basics Questions & Answers

  Interest-bearing debt ratio in its present capital structure

What are the firm's debt ratio AND interest-bearing debt ratio in its present capital structure?

  Determine the maximum central load that a 10m long beam can

determine the maximum central load that a 10m long beam can carry if its maximum stress must not exceed 80mpa.iyy

  It will cost 6000 to acquire an ice cream cart cart sales

it will cost 6000 to acquire an ice cream cart. cart sales are expected to be 3600 a year for three years. after the

  What is the price per share of nogrowth stock

NoGrowth Corporation currently pays a dividend of $0.43 per quarter, and it will continue to pay this dividend forever. what is the price per share of NoGrowth stock if the firms equity cost of capital is 14.8%?

  What will akron''s new wacc be after the exchange offer

Assuming debt policy that is consistent with the Hamada model, what will Akron's new WACC be after the exchange offer?

  What is the value of par value bond with annual payments

What is the value of a $1,000 par value bond with annual payments of a(n) a. 10% coupon with a maturity of 10 years and a 15% required return b. 8% coupon with a maturity of 10 years and a 8% required return

  Objective type question on currency exchange rates

Objective type question on currency exchange rates and foreign subsidiaries and When an MNC cannot produce an actual product in a foreign subsidiary due to political restrictions

  Five major trends driving corporate social responsibility

There are five major trends driving Corporate Social Responsibility. (Transparency, Knowledge, Sustainability, Globalization, The Failure of the public sector)

  The physical damage to the parked car

Pablo traded in his 2000 Ford for a new Ford. One week later, he hit an oily spot in the road on his way to work and skidded into a parked car. The 2000 Ford was insured under the PAP with full coverage, including a $250 deductible for a collision..

  Determining the merger bid

Hastings Corporation is interested in acquiring Vandell Corporation. Vandell has 1 million shares outstanding and a target capital structure

  What is the probability that a domestic airfare

a. What is the probability that a domestic airfare is $550 or more (to 4 decimals)? b. What is the probability that a domestic airfare is $250 or less (to 4 decimals)? c. What if the probability that a domestic airfare is between $300 and $500 (to..

  What is the maximum cost the company would be willing to pay

Hankins, Inc., is considering a project that will result in initial aftertax cash savings of $6.3 million at the end of the first year, and these savings.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd