Stellar Computers has a well-earned reputation for earning a high return on capital. The firm had a

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Stellar Computers has a well-earned reputation for earning a high return on capital. The firm had a return on capital of 100% on capital invested of \($1.5\) billion last year. Assume that you have estimated the value of the research asset to be \($1\) billion. In addition, the R&D expense this year is \($250\) million, and the amortization of the research asset is \($150\) million. Reestimate Stellar Computers' return on capital.

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