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Use the LSP Co. income statement given below to answer the following 3 questions: Income Statement for Year Ending December 31, 2010 Sales Operating costs

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Use the LSP Co. income statement given below to answer the following 3 questions: Income Statement for Year Ending December 31, 2010 Sales Operating costs excluding depreciation and amortization EBITDA Depreciation and Amortization EBIT Interest expense EBT Taxes (40%) Net Income $500,000 S150,000 S 350,000 S 50,000 ?????? $100,000 $ 200,000 $ 80,000 $ 120,000 13. Calculate the firm's operating income (EBIT) for the year 2010: * $ 200,000 $ 300,000 $ 120,000 O $ 400,000 None of the above 14. LSP reported a decrease in net fixed assets from $150,000 at the end of the year 2009 to $100,000 at the end of the year 2010. What is the capital expenditure? (Use the income statement above) * $ 50,000 $0 $ 100,000 $150,000 None of the above 15. If LSP company reported a change in net working capital of $0, what would be its FCF? (Use the income statement above) * $0 $ 170,000 $ 400,000 $ 230,000 None of the above

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