More Income Statement Practice: how to deal with taxes

A firm has $6,169 in Net Sales and Operating Expenses are $1,573. Depreciation Expense is $888. Interest expense is $202 and the firm has a 13.1% tax rate. Calculate the firm's Net Income. Include a negative if appropriate.

1. first find EBIT
2. next subtract Interest
3. then subtract taxes, there are two wasy to do this
   1. Find the tax amount in dollars (EBT * T where T is a decimal) and then subtract it out: EBT - taxes
   2. Or find taxes and subtract them in one step EBT*(1-T) where T is in decimal form