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Intro Square Root Beer Inc. hes $87 million in current assets and $100 million in flxed assets. Earnings before interest and taxes ([CDT) are $34
Intro Square Root Beer Inc. hes $87 million in current assets and $100 million in flxed assets. Earnings before interest and taxes ([CDT) are $34 millian for the year. The tax rate is 21%. Short-term financing costs 7% nd long-term financing costs 10\%\%, - Attempt 1/3 for 10 pts. What is net income if the firm finances $0% of its essets with long-term debt end tha rest with short-tem debt (in $ millioni)? - Atterript 1/3 for 10 pts. What is nex incocne if the firm finances coly 300% of its assents with long-terrir debt and the rest with short-trm debt fin S millioni
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