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QUESTION 1: (10 MARKS) The following summary information is available regarding Bundy Plc. Bundy Plc. Profit Plan For the year cading Dec. 31, 2019 Sales

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QUESTION 1: (10 MARKS) The following summary information is available regarding Bundy Plc. Bundy Plc. Profit Plan For the year cading Dec. 31, 2019 Sales Revenue $2.400.000 Net Income $600.000 Total Assets $3.600.000 Operating Assets S1.500.000 Total Liabilities $1.600.000 WACC 20% Tax rate 18% Retum from Project X S125.000 Cost of project X S80.000 Required: Compute and analyze the: Return on Investment (ROI) for project A (3 Marks) Retum on Equity (ROE) and its components for the company. (4 Marks) Residual income (RI)

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