2. Building an Income Statement (8 points) Keisha Comedy Central, has sales of $672,000, costs of $334,000, depreciation expense of $78,000 interest expense of $49,000, and a tax rate of 25 percent. a. What is the net income for the firm? Suppose the company paid out $44,000 in cash dividends: b. What is the addition to retained earnings? 3. Market Values and Book Values (8 points) Benedict Cruisers, Inc., purchased new cloaking machinery five years ago for \$20 million. The machinery can be sold to the Allen Inc. today for $18 million. Benedict's current balance sheet shows net fixed assets of $15.5 million, current liabilities of $700,000, and net working capital of $226,000. If all the current accounts were liquidated today, the company would receive $1.08 million cash. a. What is the book value of Benedict's assets today? b. What is Benedict's market value of assets? Module 2: Financial Statement, Taxes, and Castiesum Homework assignment (40 points) Show your work, not just your answers. IF you only list answers, you will only receive partial credit. 1. Building a Balance Sheet ( 8 points) Stacey Adams, Inc., has current assets of $5,760, net fixed assets of $25,500, current liabilities of $5,200, and long-term debt of $12,500. a. What is the value of the shareholders' equity account for this firm? b. How much is net working capital? 2. Building an Income Statement (8 points) Keisha Comedy Central, has sales of $672,000, costs of $334,000, depreciation expense of $78,000 interest expense of $49,000, and a tax rate of 25 percent. a. What is the net income for the firm? Suppose the company paid out $44,000 in cash dividends: Calendar ToDo Notifications (11.) Insox Calculating Txes (8 points) Timmy Tappan is single and had $189,000 in taxable income. Use the rates from Table 2.3. a. Calculate her income taxes. b. What is the average tax rate? c. What is the marginal tax rate? Table 2.3 Personal Tax Rates for 2021 (Unmarried Individuals) 5. How do you determine net working capital? (8 points)