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Can you explain why the answer is 355 million? Use the information for the question(s) below. Rosewood Industries has EBIT of $450 million, interest expense

Can you explain why the answer is 355 million?image text in transcribed

Use the information for the question(s) below. Rosewood Industries has EBIT of $450 million, interest expense of $175 million, and a corporate tax rate of 21%. If Rosewood had no interest expense, its net income would be closest to: A. $405 million. XB. $160 million. C. $355 million. D. $450 million

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