Pacific Packaging's ROE last year was only 3%, but its management has developed a new operating plan that calls for a debt-to-capital ratio of 55%, which will result in annual interest charges of $490,000 The firm has no plans to use preferred stock and total assets equal total invested capital Management projects art of $1,020,000 on sales of $10,000,000, and it expects to have a tot assets turnover ratio of 2.0. Under these conditions, the tax rate will be 25%. If the changes are made, what will be the company's return on equity? Do not round intermediate calculations. Round your answer to two decima places