In Problems 39-47, construct a mathematical model in the form of a linear programming problem. Do not solve.
Loan distributions. A savings and loan company has
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- Assume that a company has an EBIT of $1,000,000, $150,000 in capital gains, and $12,000 in capital losses. Moreover, it receives $80,000 in interest income $20,000 in dividend income as well as $250,000 in interest expense. If the tax rate is 25%, what is the corporation’s taxable income?arrow_forward(Net present value calculation) Carson Trucking is considering whether to expand its regional service center in Mohab, UT. The expansion requires the expenditure of $9,000,000 on new service equipment and would generate annual net cash inflows from reduced costs of operations equal to $2,000,000 per year for each of the next 9 years. In year 9 the firm will also get back a cash flow equal to the salvage value of the equipment, which is valued at $0.8 million. Thus, in year 9 the investment cash inflow totals $2,800,000. Calculate the project's NPV using a discount rate of 6 percent. If the discount rate is 6 percent, then the project's NPV is $. (Round to the nearest dollar.) Carrow_forwardBroker's fee: 12% of I year's rent 6. Milena has a gross biweekly income of $2,200. She pays 18% in federal and state laxes, puts aside 10% of her income to pay off her school loan, and puts 5% of her income aside for savings. She is considering an apartment that rents for $1,200 per month. a. Is this monthly rental fee within the recommended 25%-30% housing expense range? b. Based on her expenses, can she make the monthly payments?arrow_forward
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