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PROBLEM 1: (a) Given the following data: EBIT = $250,000; NI = $150,000; Common Equity...

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PROBLEM 1: (a) Given the following data: EBIT = $250,000; NI = $150,000; Common Equity = $750,000; Total Assets = $1,200,000; Calculate the ROE (Return on Equity) Ratio Industry Average Firm Value Comment Return on Common Equity (ROE) 22% Also, Benchmark the ratio using Industry Averago (b) Mr. Homemaker has just taken out a $150,000 mortgage at an interest rate of 4.2% (Annual rate]. The mortgage calls for equal monthly payments for 15 years. Then calculate the monthly payment. [Assume monthly compounding! PROBLEM 1: (a) Given the following data: EBIT = $250,000; NI = $150,000; Common Equity = $750,000; Total Assets = $1,200,000; Calculate the ROE (Return on Equity) Ratio Industry Average Firm Value Comment Return on Common Equity (ROE) 22% Also, Benchmark the ratio using Industry Averago (b) Mr. Homemaker has just taken out a $150,000 mortgage at an interest rate of 4.2% (Annual rate]. The mortgage calls for equal monthly payments for 15 years. Then calculate the monthly payment. [Assume monthly compounding

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