Question: Q Corp. has a Basic Earning Power (BEP) ratio of 15%, and has a TIE ratio of 6. Total assets are $100,000, and the debt-equity

  1. Q Corp. has a Basic Earning Power (BEP) ratio of 15%, and has a TIE ratio of 6. Total assets are $100,000, and the debt-equity ratio of 1. The corporate tax rate is 40%.

Compute ROA and ROE?

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