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Author Question: Smith Corporation has earned a return on capital invested of 10 for the past two years, but an ... (Read 93 times)

CORALGRILL2014

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Smith Corporation has earned a return on capital invested of 10 for the past two years, but an
  investment analyst reviewing the company has stated the company is not creating shareholder
  value. This may be due to the fact that
 
  A) investors' required rate of return is 8.
  B) investors' required rate of return is 12.
  C) the corporation's inventory turnover is high.
  D) the risk-free rate of interest is 3.

Question 2

The financial manager is involved in these cash-related activities in the firm:
 
  A) investing, working capital management, and financing.
  B) real assets, financing, and investing
  C) operations, profitability, and financing
  D) investing, operating, and financing.


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reversalruiz

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