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2. Ganesh Industries faces the following tax schedule: Taxable Tax on Base Income of Bracket Up to $50,000 $0 $50,000-$75,000 7,500 $75,000-$100,000 13,750 $100,000-$335,000 22,250
2. Ganesh Industries faces the following tax schedule: Taxable Tax on Base Income of Bracket Up to $50,000 $0 $50,000-$75,000 7,500 $75,000-$100,000 13,750 $100,000-$335,000 22,250 $335,000-$10,000,000 113,900 $10,000,000-$15,000,000 3,400,000 $15,000,000-$18,333,333 5,150,000 Over $18,333,333 6,416,667 Percentage on Excess above Base 15% 25 34 39 34 35 38 35 Last year the company realized $20,000,000 in operating income (EBIT). Its annual interest expense is $5,500,000. What was the company's tax liability for the year? A. $4,809,874 B. $4,975,000 C. $1,575,000 D. $4,610,000 F $3.400.000
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