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You have been given the following information: Operating income before taxes - $100 million Interest expense before taxes - $10 million Tax expense - $25
You have been given the following information: Operating income before taxes - $100 million Interest expense before taxes - $10 million Tax expense - $25 million Net income - 65 million The statutory tax rate is 35 percent. What is the effective tax rate on operating income?
28.5% | ||
35% | ||
27.78% | ||
25% |
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