Emery Mining Inc. recently reported $150,000 of sales, $75,500 of operating costs other than depreciation, and $10,200 of depreciation. The company had $16,500 of outstanding bonds that carry a 7.25% interest rate, and its federal-plus-state income tax rate was 35%. How much was the firm's net income? The firm uses the same depreciation expense for tax and stockholder reporting purposes a. $35,167.33 b. $37,018.24 c. $38,966.57 d. $41,017.44 e. $43,068.31
Emery Mining Inc. recently reported $150,000 of sales, $75,500 of operating costs other than depreciation, and $10,200 of depreciation. The company had $16,500 of outstanding bonds that carry a 7.25% interest rate, and its federal-plus-state income tax rate was 35%. How much was the firm's net income? The firm uses the same depreciation expense for tax and stockholder reporting purposes a. $35,167.33 b. $37,018.24 c. $38,966.57 d. $41,017.44 e. $43,068.31
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 4P: Talbot Enterprises recently reported an EBITDA of $8 million and net income of $2.4 million. It had...
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![Emery Mining Inc. recently reported $150,000 of sales,
$75,500 of operating costs other than depreciation, and
$10,200 of depreciation. The company had $16,500 of
outstanding bonds that carry a 7.25% interest rate, and its
federal-plus-state income tax rate was 35%.
How much was the firm's net income? The firm uses the same
depreciation expense for tax and stockholder reporting
purposes
a. $35,167.33
b. $37,018.24
c. $38,966.57
d. $41,017.44
e. $43,068.31](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fd08b3851-31f5-4f9e-8e9d-bde97902367d%2Fdad6bd8d-8106-4ac3-9a6d-fc4c62f90f6d%2Fm40k7z_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Emery Mining Inc. recently reported $150,000 of sales,
$75,500 of operating costs other than depreciation, and
$10,200 of depreciation. The company had $16,500 of
outstanding bonds that carry a 7.25% interest rate, and its
federal-plus-state income tax rate was 35%.
How much was the firm's net income? The firm uses the same
depreciation expense for tax and stockholder reporting
purposes
a. $35,167.33
b. $37,018.24
c. $38,966.57
d. $41,017.44
e. $43,068.31
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