RED blue green

r (ROiC) 11 16 8

c* (WACC) 6 15 10

b (reinvestment rate = I/NOpat) 5 75 100

A = Increasing ROIC by turn over or margin

B= increasing b by paying less dividends or margin or both

C= decreasing b by paying earning or divesting asset

D= reduce waxx by using more equity financing and less debt

23. What is the best option for RED?

24. What is the best option for BLUE?

25. What is the best option of GREEN?