Use the information below provided by Angel Baby Angel Company: Sales 8,250,000.00 Operating costs 4,725,000.00 Operating income 3,525,000.00 Interest expense 1,750,000.00 Earnings before taxes 1,775,000.00 Taxes (40%) 621,250.00 Net income 1,153,750.00 WACC = 8%, Total invested capital 24,875,000. Calculate the EVA. (2 decimal places) Refer to Angel Baby Angel Company, what is its TIE ratio? Use 4 decimal places in your final answer.
Use the information below provided by Angel Baby Angel Company: Sales 8,250,000.00 Operating costs 4,725,000.00 Operating income 3,525,000.00 Interest expense 1,750,000.00 Earnings before taxes 1,775,000.00 Taxes (40%) 621,250.00 Net income 1,153,750.00 WACC = 8%, Total invested capital 24,875,000. Calculate the EVA. (2 decimal places) Refer to Angel Baby Angel Company, what is its TIE ratio? Use 4 decimal places in your final answer.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Question
10.
Use the information below provided by Angel Baby Angel Company:
|
Sales |
8,250,000.00 |
|
Operating costs |
4,725,000.00 |
|
Operating income |
3,525,000.00 |
|
Interest expense |
1,750,000.00 |
|
Earnings before taxes |
1,775,000.00 |
|
Taxes (40%) |
621,250.00 |
|
Net income |
1,153,750.00 |
WACC = 8%, Total invested capital 24,875,000. Calculate the EVA. (2 decimal places)
Refer to Angel Baby Angel Company, what is its TIE ratio? Use 4 decimal places in your final answer.
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