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Task II 10 points a) Assume you have a business with an equity of 5 000 and a required return on equity of 20%. The
Task II 10 points a) Assume you have a business with an equity of 5 000 and a required return on equity of 20%. The operating profit is 1 200. What would then the economic profit be? 3 points ) When rewarding shareholders with dividends and lenders with interest the company is faced with a differentiation. Why is this and give an example that illustrates this phenomena. In you example use the same amount for dividend as for interest. 3 points
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