Alpha Engineering invested $30 million using a D-E mix of 65%–35% for the development, marketing, and delivery of a web-based training program for project management. Determine the return on the company’s equity if the net income from the sale of the program for the first year was $4 million from total revenue of $6 million.
Alpha Engineering invested $30 million using a D-E mix of 65%–35% for the development, marketing, and delivery of a web-based training program for project management. Determine the return on the company’s equity if the net income from the sale of the program for the first year was $4 million from total revenue of $6 million.
Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)
14th Edition
ISBN:9781305506381
Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Chapter8: Cost Analysis
Section: Chapter Questions
Problem 1.3CE
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Alpha Engineering invested $30 million using a
D-E mix of 65%–35% for the development,
marketing, and delivery of a web-based training
program for project management. Determine the
return on the company’s equity if the net income
from the sale of the program for the first year was
$4 million from total revenue of $6 million.
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