Question #4: Statement of Stockholders Equity and NOWC 1. Saadia Company's balance sheet showed total current assets of $4,250, all of which were required in operations. Its current liabilities consisted of $975 of accounts payable, $600 of 6% short-term es payable to the bank, and $250 of accrued wages and taxes. What was its net operating working capital? 2. Rao Construction recently reported $20.50 million of sales, $12.00 million of operating costs other than depreciation, and $3.00 million of depreciation. It had $8.50 million of bonds outstanding that carry a 7.0% interest rate, and its federal-plus-state income tax rate was 40%. What was Rao's operating income, or EBIT, in millions? A BI E E P 22