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Use the information below to find the missing values: The ABC Corp. balance sheet as of December 31, 20x3 is as follows: Assets $400,000

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Use the information below to find the missing values: The ABC Corp. balance sheet as of December 31, 20x3 is as follows: Assets $400,000 Common Stock, $5 Par $400,000 Sales Operating Expenses Earnings Before Interest and Taxes Interest Debt Financing 500,000 Equity Financing 500,000 Earnings Before Taxes Income Tax Expense Earnings After Tax Additional Information: The company intends to raise additional capital of $100,000 but is unsure whether to issue bonds or additional shares of common stock. If selected, the bonds will be issued at par with an interest rate of 10%. If stock is issued, the stock will sell for $10 per share. The company will implement the selected financing plan on January 1, 20x4. Projected operating expenses for 20x4 are $25,000 in fixed costs plus 60% of sales. The income tax rate for 20x4 is 30%. What are the projected Earnings After Taxes for 20x4 under DEBT financing? Use the information below to find the missing values: The ABC Corp. balance sheet as of December 31, 20x3 is as follows: Assets $400,000 Common Stock, $5 Par $400,000 Sales Operating Expenses Earnings Before Interest and Taxes Interest Earnings Before Taxes Income Tax Expense Earnings After Tax Debt Financing 500,000 Equity Financing 500,000 ? Additional Information: The company intends to raise additional capital of $100,000 but is unsure whether to issue bonds or additional shares of common stock. If selected, the bonds will be issued at par with an interest rate of 10%. If stock is issued, the stock will sell for $10 per share. The company will implement the selected financing plan on January 1, 20x4. Projected operating expenses for 20x4 are $25,000 in fixed costs plus 60% of sales. The income tax rate for 20x4 is 30%. What are the projected Earnings After Taxes for 20x4 under EQUITY financing?

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