Brick House Cafe has a tax rate of 21 percent and paid total taxes of $47,900. The company had an interest expense of $21,300. What was the value of the interest tax shield? Multiple Choice $11,764 $7,900 $4,473 $16,286 $16,937
Brick House Cafe has a tax rate of 21 percent and paid total taxes of $47,900. The company had an interest expense of $21,300. What was the value of the interest tax shield? Multiple Choice $11,764 $7,900 $4,473 $16,286 $16,937
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter6: Accounting For Financial Management
Section: Chapter Questions
Problem 3P
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Brick House Cafe has a tax rate of 21 percent and paid total taxes of $47,900. The company had an interest expense of $21,300. What was the value of the interest tax shield?
Multiple Choice
-
$11,764
-
$7,900
-
$4,473
-
$16,286
-
$16,937
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