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Firm A and Firm B have debt-total asset ratios of 42 percent and 32 percent, respectively, and returns on total assets of 7 percent and

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Firm A and Firm B have debt-total asset ratios of 42 percent and 32 percent, respectively, and returns on total assets of 7 percent and 12 percent, respectively. What is the return on equity for Firm A and Firm B? (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) Answer is complete but not entirely correct. Firm A return on equity Firm B return on equity 15.51 % % 10.27%

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