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Please show steps Tibbs Inc. had the following information: - Net income =$300; - Net operating profit after taxes ( NOPAT )=$240; - Total assets
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Tibbs Inc. had the following information: - Net income =$300; - Net operating profit after taxes ( NOPAT )=$240; - Total assets = $2,500; - Short-term investments =$200; - Stockholders' equity =$1,800; - Total debt =$700; - Total operating capital =$2,300. What was its return on invested capital (ROIC)? If the WACC is 10%, would Tibbs Inc. be creating or destroying value for the firm? The ROIC is 10.43%. Tibbs, Inc, is creating value for the firm. The ROIC is 13.05%. Tibbs, Inc. is creating value for the firm. The ROIC is 13.33%. Tibbs, inc. is creating value for the firm. The ROIC is 9.60%. Tibbs, Inc. is destroying value for the firmStep by Step Solution
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