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Kryger [21]
3 years ago
11

Income Statement. A firm’s income statement included the following data. The firm’s average tax rate was 20%. (LO3-1) Cost of go

ods sold $8,000 Income taxes paid $2,000 Administrative expenses $3,000 Interest expense $1,000 Depreciation $1,000 What was the firm’s net income? What must have been the firm’s revenues? What was EBIT?
Business
1 answer:
Blababa [14]3 years ago
7 0

Answer:

Revenues: $23.000

Net Income : $8.000

EBIT: $11.000

Please see details below:

Explanation:

Income Statement 2017

Revenues $23.000

Cost of goods sold -$8.000

Depreciation -$1.000

Gross Profit $14.000

Administrative Expenses -$3.000

Net Income Before Taxes and Int $11.000

Interest Expenses -$1.000

Net Income Before Taxes $10.000

Tax RATE 20%  -$2.000

Net Income after Taxes $8.000

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