Multiple Choice
The weighted average cost of capital for a company is 12 per cent and the firm achieved an operating profit before interest and tax of £1.5m in the latest year. The company started the year with £20m of invested capital. What was the economic profit?
A) - £900,000
B) £900,000
C) £3.7m
D) £2.4m
Correct Answer:
Verified
Correct Answer:
Verified
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