During the year, the Senbet Discount Tire Company had gross sales of $925,000. The firm's cost of
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During the year, the Senbet Discount Tire Company had gross sales of $925,000. The firm's cost of goods sold and selling expenses were $490,000 and $220,000, respectively. Senbet also had notes payable of $740,000. These notes carried an interest rate of 4 percent. Depreciation was $120,000. Senbet's tax rate was 35 percent.
a. What was Senbet's net income?
b. What was Senbet's operating cash flow?
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Input area Sales 925000 Cost of goods sold 490000 Selling expenses 220000 Notes paya...View the full answer
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Related Book For 
Corporate Finance
ISBN: 978-0077861759
11th edition
Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe, Bradford Jordan
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