Question 2: (20 marks) a. Explain the value chain and discuss...

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Question 2: (20 marks) a. Explain the value chain and discuss the advantages gained by performing a Value Chain Analysis (VCA) b. The following summary information is available regarding CLU Plc. CLU PIC. Profit Plan For the year ending Dec. 31, 2020 Sales Revenue $320,000 Operating Income $26,000 Shareholders' equity $120,000 Operating Assets $60,000 Total Liabilities $40,000 22% WACC 20% Tax rate $53,500 Return from Project A Cost of project A $43.000 Required: Compute and analyze the: Return on Investment (ROI) for project A Return on Equity (ROE) and its components for the company. Residual income (RI) [Marks: (8+12) = 30)

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