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    Corporate Finance Study Set 5
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    Exam 4: Measuring Corporate Performance
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    When Will ROE = ROC
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When Will ROE = ROC

Question 24

Question 24

Multiple Choice

When will ROE = ROC?


A) If the firm has equal debt and equity financing
B) If the firm has no interest payments on debt
C) If the value of the firm's assets exceed the value of its equity
D) ROE will never equal ROC

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