Question
12-4[8 pts] Assume a corporation has earnings before depreciation and taxes of $90,000, depreciation of $40,000, and a 30 percent tax bracket. Compute its cash
12-4[8 pts] Assume a corporation has earnings before depreciation and taxes of $90,000, depreciation of $40,000, and a 30 percent tax bracket. Compute its cash flow using the following format:
Earnings before depreciation and taxes_____
Depreciation_____
Earnings before taxes_____
Taxes @ 30%_____
Earnings after taxes_____
Depreciation_____
Cash flow
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Financial Markets and Institutions
Authors: Frederic S. Mishkin, Stanley G. Eakins
8th edition
013342362X, 978-0133423624
