Write the answers to the following questions in Word or Excel format, including your calculation and the results. Use the Attach File function below.
Consider the following income statement:
|
Sales
|
$734,800
|
|
Costs
|
$327,600
|
|
|
Depreciation
|
$102,000
|
|
EBIT
|
?
|
|
Tax (35%)
|
?
|
|
Net Income
|
?
|
1) Calculate the EBIT, Tax, and Net Income.
2) Calculate the OCF.
3) What is the depreciation tax shield?