Tanner%20ROE%20only - deduction is $2.000 and its marginal...

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Tanner’s ROE. Tanner’s assets are $10, its leverage ratio (D/(D+E)) is 20%, the contract rate on its debt is 8%, its net operating income is $5.000, its current depreciation
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Unformatted text preview: deduction is $2.000, and its marginal tax bracket is 40%. What is Tanners ROE? 21.3% ?...
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This note was uploaded on 03/28/2008 for the course FRL 301 taught by Professor Carney during the Spring '08 term at Cal Poly Pomona.

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