Attempts: Keep the Highest: 1 10. Problem 4.16 Click here to read the eBook: Profitability Ratios RETURN ON EQUITY Commonwealth Construction (CC) needs 53 million of assets to get started, and it expects to have a basic earning power ratio of 15%. CC will own no securities, soal of its income will be operating income If it so chooses, CC can finance up to 30% of its assets with debt, which will have an interest rate it chooses to use debt, the firm will finance using only debt and common equity, so no preferred stock will be used. Assuming a 30% tax rate on all taxable income, what is the difference between CC's expected ROE IF it inances these assets with 30% der versus is expected ROE i finances these assets entirely with common stock? Round your answer to two decimal places