Last year indebt company paid 75 million of interest, Ask an Expert

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Last year, InDebt Company paid $75 million of interest expense, and its average rate of interest for the year was 10.0%. The company's ROE is 15.0%, and it pays no dividends. Estimate next year's interest expense assuming that interest rates will fall by 25% and the company keeps a constant equity multiplier of 20%.

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92371767

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