Q$.7$ Sugar Skull Corp. uses no debt. The weighted average cost of capital is $7\mathrm{.}9$ percent. If the

current market value of the equity is $$15\mathrm{.}6$ million and there are no taxes, what is EBIT?

Suppose Skull Corp corporate tax rate is $22$ percent. What is EBIT in this case? What is the

WACC? Explain.