Unformatted text preview: statement purposes is the same, and therefore, there is no deferred income tax or future income tax liability in this problem (i.e., capital cost allowance is the same as financial statement depreciation). ABC repaid $350 of their short-term debt during 2009. The increase in ABCs Net Fixed Assets from year-end 2008 to year-end 2009 was $400. The increase in ABCs Trade Capital from year-end 2008 to year-end 2009 was $275. ABC paid dividends to shareholders of $315.2 during 2009. ABC repurchased $50 of shares from common shareholders during 2009. ABC's tax rate is 40%. Required: What is ABCs 2009 Rate of Return on Equity using beginning of period book equity? Solution...
View Full Document
This note was uploaded on 02/10/2011 for the course BUS 312 taught by Professor Alan during the Spring '03 term at Simon Fraser.
- Spring '03