At Welding and Bending the Equity amounts to 1 200 000 and Debt is 2 800 000.
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Question:
At Welding and Bending the Equity amounts to £1 200 000 and Debt is £2 800 000. The shareholders require a return of 12% and the cost to serve the debt is 3%. During 2019 Welding and Bending posted a profit after tax but before interest of £210 000. Calculate annual Economic Profit.
Related Book For
Introduction to Finance Markets Investments and Financial Management
ISBN: 978-1118492673
15th edition
Authors: Melicher Ronald, Norton Edgar
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