What was the firm return on capital

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Reference no: EM131883692

Over the course of the year, WaterWarp, Inc. increased long-term debt from $3,200 million to $3,400 million and maintained shareholder’s equity at $3,800 million. The company produced $590 million in net income, paid $580 million in interest expense, and had an effective tax rate of 35%. Using the average total capitalization approach, what was the firm’s return on capital? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)

Reference no: EM131883692

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