16. If a company has a total asset of 125,000,000 MXN initially financed through equity capital, a return on equity of 12.5% with the initial structure, with an interest rate of 12.5% and a return on assets of 22%. What happens to return on equity if half of a company's shares are repurchased by issuing debt? a) Doubled b)Increase c)Divide in half d) Decrease

17. According to the previous question, how much would the new ROE be after the restructuring?