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A company had the following items on its 2020 annual income statement: Revenues900,000 Labor expense100,000 Material expense200,000 Depreciation expense80,000 In addition, the company borrowed $250,000
A company had the following items on its 2020 annual income statement:
Revenues900,000
Labor expense100,000
Material expense200,000
Depreciation expense80,000
In addition, the company borrowed $250,000 at the beginning of 2019, to be repaid with equal total payments, over10 years, at 6% annual interest.
- What is the loan interest payment in 2020?What is the loan principal payment in 2020? (Enter two numerical values in the answer field, and separate them by a space.)
- federal corporate tax rate of 21%, compute the "Profit after tax." (Enter one numerical value in the data field.You may round to the nearest dollar.)
- compute the Cash flow after tax, interest, and principal.
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