Mini-Case Analysis 1: Amazing Brentwood Inc. Amazing Brentwood Inc. bought a long-term asset for $100,000. The asset has a 30% CCA rate. At the end of years the firm sold the asset for 25% of its original value In the year 2018, the firm just paid $420 in dividends and $611 in interest expense. The addition to retained earnings is $397,74 and net new equity is 5750 The tax rate is 34 percent Sales are $6.250 and depreciation is 5710. 1 Given this information, determine the value of the terminal loss or recapture at the end of year 5 2 What are the earnings before interest and taxes in the year 2018? 3. What is the after tax net profit for the year 2018? The company plans to efficiently maintain the assets in the long run. The average total assets of the firm are 145,000. The firm also plans to cover the solvency ratios in a reasonable manner to seek additional refinancing from the capital providers. The company has 50,000 shares outstandinu. The company plans to raise more capital by issuing shares. The company's ROE has been determined to be 10% which is likely to go up in the next year. The company is concerned about the profitability ratios of the company and it is seekine your advice to improve them. The sales of the recent quarter of 2019 have gone down to 35 800 whereas the net earnings are $ 3.200 The company is plannggg to expand in the future. It is planning to open one more branch in Greater Vancouver region. The shareholders Board of Directors (BOD) and the managers may have disagreement on its decision though 4. 5 What is the Asset turnover for the company? Calculate the The ratio and also respond whether it is satisfactory or not How will issuing more shares affect the capital structure of the company