CH 3 #7

Sheryl's Shipping had sales last year of $18,000. The cost of goods sold was $8, 100, general and administrative expenses were $2, 600, interest expenses were $2, 100, and depreciation was $2, 600. The firm's tax rate is 30%. a. What are earnings before interest and taxes? Earnings before interest and taxes $ 4700 b. What is net income? Net income $ 5200 c. What is cash flow from operations? Cash flow from operations $ 6520