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Hello Sir,Please assist with this question how to work it out, from the Specimen paper applicable from June 2014, question 11 it says
A company has a capital employed of $200000. It has a cost of capital of 12% per year. Its residual income is $36000
What is the company’s return on Investment
A 30% B 12% C 18% D 22%The answer that they printed was A 30%
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