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With the following information, Total capital employed 200m; total sales 100m; 60% of capital financed by owners resources; Direct costs 15m; indirect costs 10m; cost
With the following information, Total capital employed 200m; total sales 100m; 60% of capital financed by owners resources; Direct costs 15m; indirect costs 10m; cost of capital 12%; corporate tax of 20%.
You can now calculate the (ROI) - operating profit/total capital You can now calculate the net profitability (ROE) - net profit/social capital
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