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Brown Office Supplies recently reported $15,500 of sales, $8,250 of operating costs other than depreciation, and $1,750 of depreciation. It had $9,000 of bonds outstanding

Brown Office Supplies recently reported $15,500 of sales, $8,250 of operating costs other than depreciation, and $1,750 of depreciation. It had $9,000 of bonds outstanding that carry a 7.0% interest rate (interest expense of $630), and its tax rate was 40%. Finally, the firm paid a cash dividend of $750. a. How much was the firm's earnings before taxes (EBT)? b. Find the Net Income.

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