Question: B AND C ANSWER REQUIRED !! THANKS Case 1 The following table demonstrates the projected figures of the Companies A, B and C for 2021.

 B AND C ANSWER REQUIRED !! THANKS Case 1 The following B AND C ANSWER REQUIRED !! THANKS

Case 1 The following table demonstrates the projected figures of the Companies "A", "B" and "C" for 2021. Table (1): Projected Figures for 2021 Net Profit* Interest Expense* 1,723 605 Number of Shares** 39 Outstanding Company Loan* A 16,065 B 5,045 C 2,314 *All the figures are in CAD millions. 830 Shareholder's Equity* 5,892 24,799 12,563 386 2,320 2,475 352 52 **Number of Shares are in millions. The following graph shows the movement in lending rates in Jan-Dec of 2021 Jan 2021 Feb 2021 March 2021 April 2021 May 2021 June 2021 July 2021 August Sep 2021 2021 Oct 2021 Nov 2021 Dec 2021 10.24% 10.15% 10.03% 9.94% 9.93% 9.85% | 9.77% 9.7% 9.62% 9.66% 9.56% 9.51% The companies pay their installments semi-annually; one in June and another one in December. As the interest rates fell sharply, all the three companies renegotiated the interest rates on their outstanding loans in May 2017. Corporate Tax rate for all the three companies is 25%. a) Calculate the Earnings per Share (EPS) and Return on Equity (ROE) of all the three companies for 2021 b) Calculate the revised Earning per Share (EPS) and Return on Equity (ROE) of all the three companies after renegotiation c) Explain how you reached the numbers the answer sheet. You can incorporate any additional assumption behind your calculation. Case 1 The following table demonstrates the projected figures of the Companies "A", "B" and "C" for 2021. Table (1): Projected Figures for 2021 Net Profit* Interest Expense* 1,723 605 Number of Shares** 39 Outstanding Company Loan* A 16,065 B 5,045 C 2,314 *All the figures are in CAD millions. 830 Shareholder's Equity* 5,892 24,799 12,563 386 2,320 2,475 352 52 **Number of Shares are in millions. The following graph shows the movement in lending rates in Jan-Dec of 2021 Jan 2021 Feb 2021 March 2021 April 2021 May 2021 June 2021 July 2021 August Sep 2021 2021 Oct 2021 Nov 2021 Dec 2021 10.24% 10.15% 10.03% 9.94% 9.93% 9.85% | 9.77% 9.7% 9.62% 9.66% 9.56% 9.51% The companies pay their installments semi-annually; one in June and another one in December. As the interest rates fell sharply, all the three companies renegotiated the interest rates on their outstanding loans in May 2017. Corporate Tax rate for all the three companies is 25%. a) Calculate the Earnings per Share (EPS) and Return on Equity (ROE) of all the three companies for 2021 b) Calculate the revised Earning per Share (EPS) and Return on Equity (ROE) of all the three companies after renegotiation c) Explain how you reached the numbers the answer sheet. You can incorporate any additional assumption behind your calculation

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