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Question 2 please e $88,360 d. $51,360 e. $87,600 2 Leslie Cortes invests $25,000 today in an investment that earns 8 percent per year (compounded
Question 2 please
e $88,360 d. $51,360 e. $87,600 2 Leslie Cortes invests $25,000 today in an investment that earns 8 percent per year (compounded annually) for 30 years. The average inflation rate is expected to be 3.25 percent per year. She will have much more than $25,000 in 30 years BUT what would this future amount be if expressed in today's dollars? a $100,591 b. $96,372 c. $99,844 d $251,566 e. $116,523 3 Garcia, Inc. has a total assets turnover of 0.76, a profit margin of 5.2 percent, and a debt ratio of 0.64. The CFO, Valeria Garcia, wants to double the current return on equity by making some changes. If she thinks that the profit margin can be boosted to 10 percent, but wants to decrease the debt ratio to 0.50, how much sales revenue would have to be generated per dollar of assets (owned by the company) in order to double the return on equity? a. $0.62 b. $1.32 c. $0.57 d $1.10 e. $2.00Step by Step Solution
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