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Use the following information to find the ROE of Firm L when EBIT is $15,000 Unlevered Firm: Firm U Levered Firm: Firm L Debt $0

Use the following information to find the ROE of Firm L when EBIT is $15,000 Unlevered Firm: Firm U Levered Firm: Firm L Debt $0 $60,000 Interest invested Capital Tax Rate 8% $100,000 32% 8% $100,000 32% 8.2% 12.2% 17.3% 10.2%

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