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Sugar Corp. has net income of $13.92 billion, an effective tax rate of 37%, interest expense of $1,700 million, an asset turnover of 3.4, and
Sugar Corp. has net income of $13.92 billion, an effective tax rate of 37%, interest expense of $1,700 million, an asset turnover of 3.4, and $21 billion in total assets, of which $11 billion is debt. Calculate the ROE of Sugar Corp. and its 5 components: Tax Burden Ratio, Profit Margin, Interest Burden Ration, Asset Turnover and Leverage Ratio. Would you invest in Sugar Corp., why?
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