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liberstina [14]
3 years ago
14

Molteni Motors Inc. recently reported $3.25 million of net income. Its EBIT was $6.25 million, and its tax rate was 35%. What wa

s its interest expense? (Hint: Write out the headings for an income statement and then fill in the known values. Then divide $3.25 million net income by 1 − T = 0.65 to find the pre-tax income. The difference between EBIT and taxable income must be the interest expense.) Enter your answer in dollars. For example, an answer of $1.2 million should be entered as 1,200,000. Round your answer to the nearest dollar.
Business
1 answer:
Liula [17]3 years ago
6 0

Answer:

Interest= $1250000

Explanation:

We know that:

EBIT

interest (-)

=earnings before taxes

tax (-)

=Net profit

EBIT= 6250000

Interest= ?

t= 0,35

Net profit= 3250000

interest= [netprofit/(1-t)]- EBIT

interest= (3250000/0,65)-6250000

interest= 1250000

Tax=(EBIT-interest)*0,35= 1750000

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Answer:

A) Positive, because higher prices yield larger quantities supplied.

Explanation:

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3 years ago
A(n) ________ is defined as a distinct unit within a brand or product line distinguishable by size, price, appearance, or some o
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Answer:

The correct answer is stockkeeping unit.

Explanation:

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2 years ago
King Company issued bonds with a face amount of $1,600,000 in 2015. As of January 1, 2020, the balance in Discount on Bonds Paya
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Answer:

January 1, 2020

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Loss on Redemption of bonds                 36800 Cr

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Explanation:

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Answer:

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Explanation:

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