Exercise $4.$ Suppose that $90\%$ of company's total assets of $450$ million euros are financed with debt

capital. Its cost of debt is $8\%$ before taxes, and its cost of equity capital is $12\%.$ Company's last years' pre$-$

tax income was $5\mathrm{.}1$ million euros and the tax rate was $40\%.$ What was this company's residual income

during the last year?