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1 Big Rock Candy Mountain Mining Co. 2 Ratio Analysis for the years 2019 and 2020 3 Ratio 20202019 c. In 2020 the ROE increased.
1 Big Rock Candy Mountain Mining Co. 2 Ratio Analysis for the years 2019 and 2020 3 Ratio 20202019 c. In 2020 the ROE increased. Explain, in words, why this increase occurred using the DuPont method from equation (3-29). Now use the extended DuPont method from equation (3-33). d. Big Rock Candy Mountain Mining has shown an accounting profit in each of the past two years. Calculate the economic profit for these years and compare it to net income. The WACC is 9%. e. Using Altman's model for privately held firms, calculate the Z-score for Big Rock Candy Mountain Mining. Does it appear that the firm is in imminent danger of bankruptcy? 1 Big Rock Candy Mountain Mining Co. 2 Ratio Analysis for the years 2019 and 2020 3 Ratio 20202019 c. In 2020 the ROE increased. Explain, in words, why this increase occurred using the DuPont method from equation (3-29). Now use the extended DuPont method from equation (3-33). d. Big Rock Candy Mountain Mining has shown an accounting profit in each of the past two years. Calculate the economic profit for these years and compare it to net income. The WACC is 9%. e. Using Altman's model for privately held firms, calculate the Z-score for Big Rock Candy Mountain Mining. Does it appear that the firm is in imminent danger of bankruptcy
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