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1. Calculate the EBIT 2. Calculate the net income. 3. Calculate the OCF. 4. What is the depreciation tax shield? Consider the following income statement:

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1. Calculate the EBIT

2. Calculate the net income.

3. Calculate the OCF.

4. What is the depreciation tax shield?

Consider the following income statement: Sales Costs Depreciation Taxes $ 784,664 510,496 116,100 22 %

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