ere are simplified financial statements for Phone Corporation in a recent year INCOME STATEMENT (Figures in S millions) Net sales Cost of goods sold Other expenses Depreciation Earnings before interest and taxes s 2.470 $13,200 4,110 4,072 2,548 (EBIT) Interest expense Income before tax Taxes (at 35%) Net income Dividends 690 S 1,780 623 1,157 $ 866 BALANCE SHEET