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Question 9 Abnormal earnings are O net income adjusted for a capital charge computed as the beginning book value of equity divided by the discount rate. O the same than the expected returns. O net income adjusted for the beginning book value of equity. O net income adjusted for a capital charge computed as the discount rate multiplied by the beginning book value of equity

Question 9 Abnormal earnings are O net income adjusted for a capital charge computed as the beginning book value of equity divided by the discount rate. O the same than the expected returns. O net income adjusted for the beginning book value of equity. O net income adjusted for a capital charge computed as the discount rate multiplied by the beginning book value of equity

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Question 9 Abnormal earnings are O net income adjusted for a capital charge computed as the beginning book value of equity divided by the discount rate. O the same than the expected returns. O net income adjusted for the beginning book value of equity. O net income adjusted for a capital charge computed as the discount rate multiplied by the beginning book value of equity
Transcribed Image Text:Question 9 Abnormal earnings are O net income adjusted for a capital charge computed as the beginning book value of equity divided by the discount rate. O the same than the expected returns. O net income adjusted for the beginning book value of equity. O net income adjusted for a capital charge computed as the discount rate multiplied by the beginning book value of equity
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