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Al Rahba Enterprise is planning to establish a new plant in the western region (Zafara). The estimated cost of the new plant is around $40,000,000.
Al Rahba Enterprise is planning to establish a new plant in the western region (Zafara). The estimated cost of the new plant is around $40,000,000. The new plant will soar the total assets to $150,000,000 with a growth rate of 27%. The projected ROTA under the new change will be 10% under zero DPR. Covid-19 has an adverse effect on the availability of external financial resources. Required: Find out the adjusted growth rate under unavailability of external funds (Kunt and Maks) and the effect on efficiency as could be measured by ROTA.
Al Rahba Enterprise is planning to establish a new plant in the western region (Zafara). The estimated cost of the new plant is around $40,000,000. The new plant will soar the total assets to $150,000,000 with a growth rate of 27%. The projected ROTA under the new change will be 10% under zero DPR. Covid-19 has an adverse effect on the availability of external financial resources.
Required:
Find out the adjusted growth rate under unavailability of external funds (Kunt and Maks) and the effect on efficiency as could be measured by ROTA.
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Quantitative Methods For Business
Authors: David Anderson, Dennis Sweeney, Thomas Williams, Jeffrey Cam
11th Edition
978-0324651812, 324651813, 978-0324651751
