Problem 12-4 (Part Level Submission)

Consider the following information for Golden Valley Electronics:

12/ 31/ 2017 12/ 31/ 2018 Total assets $ 12, 334, 000 $ 10, 592, 400 Noninterest - bearing current liabilities 569, 100 594, 000 Net income 761, 400 $.03, 410 Interest EXPENSE 2, 269, 300 350, 050 Tax rate 359/0 Required rate of return 124/0