Question
1. Casey Motors recently reported net income of $146 million. The firm's tax rate was 40.0% and interest expense was $42 million. The company's after-tax
1. Casey Motors recently reported net income of $146 million. The firm's tax rate was 40.0% and interest expense was $42 million. The company's after-tax cost of capital is 13.0% and the firm's total investor supplied operating capital employed equals $1,022 million. What is the company's EVA? (Answers are in $ millions.)
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$243.33
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$146.00
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$38.34
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$171.20
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$132.86
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2. In its recent income statement, Smith Software Inc. reported $26 million of net income, and in its year-end balance sheet, Smith reported $339 million of retained earnings. The previous year, its balance sheet showed $320 million of retained earnings. What were the total dividends paid to shareholders during the most recent year? (Answers are in $ millions.)
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$26.00
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$19.00
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$7.00
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$5.00
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$33.00
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