Assume that Atlas Sporting Goods Inc. has $870,000 in assets. If it goes with a low-liquidity plan for the assets, it can earn a return of 18 percent, but with a high-liquidity plan the return will be 15 percent. If the firm goes with a short-term financing plan, the financing costs on the $870,000 will be 12 percent, and with a long-term financing plan the financing costs on the $870,000 will be 14 percent.

Compute the anticipated return after financing costs with the two moderate approaches to the asset-financing mix.

	Anticipated Return
Low liquidity
High liquidity