Income Statement For the Year Ended December 31, 2016 Sales (all on credit) $720,000 Cost of Goods Sold 500.000 Gross Profit 220,000 Sales and Administrative Expense 20,000 Depreciation 40,000 Operating Income 160,000 Interest Expense 16,000 Income before Taxes 144,000 Income Tax (30%) 43,200 Net Income $100.800 9. The EBIT for this company is: a. $100,800 b. $116,000