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A company has a return on assets of 10.4% per year, its net income is $278,667, its annual interest expense is $276,443, and its tax

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A company has a return on assets of 10.4% per year, its net income is $278,667, its annual interest expense is $276,443, and its tax rate is 38%. What is the company's basic earnings power ratio? 1) 20.7% 2) 27.1% 3) 25.2% 4) 22.4% 5) 19.1%

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