What is the combined debt and equity income (interest plus earnings af
What is the combined debt and equity income (interest plus earnings after tax) for the Equity and Debt firm?
A) $700,000
B) $760,000
C) $560,000
D) $300,000
ANSWER
B
Explanation: B) = EAT + Interest = $560,000 + $200,000 = $760,000.
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