CourseLover

(12)

$10/per page/Negotiable

About CourseLover

Levels Tought:
Elementary,Middle School,High School,College,University,PHD

Expertise:
Algebra,Applied Sciences See all
Algebra,Applied Sciences,Architecture and Design,Art & Design,Biology,Business & Finance,Calculus,Chemistry,Engineering,Health & Medical,HR Management,Law,Marketing,Math,Physics,Psychology,Programming,Science Hide all
Teaching Since: May 2017
Last Sign in: 287 Weeks Ago, 4 Days Ago
Questions Answered: 27237
Tutorials Posted: 27372

Education

  • MCS,MBA(IT), Pursuing PHD
    Devry University
    Sep-2004 - Aug-2010

Experience

  • Assistant Financial Analyst
    NatSteel Holdings Pte Ltd
    Aug-2007 - Jul-2017

Category > Accounting Posted 15 Dec 2017 My Price 10.00

Debt $140 $840 - Equity $560 $210

I just want to check my work and train of thought:

Taxes are 35% and all dollars are in millions.

Company A and Company B

Earnings before interest and taxes $280 $294

Debt $140 $840

Equity $560 $210


a) Calculate each company's ROE, ROA, and ROIC.
b) Why is Company B's ROE so much higher than Company A's? Does this mean Company B is a better company? Why or why not?
c) Why is Company A's ROA higher than Company B's? What does this tell you about the two companies?
d) How do the two companies' ROICs compare? What does this suggest about the two companies?

Answers

CourseLover
(12)
Status NEW Posted 15 Dec 2017 02:12 PM My Price 10.00

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