Multiple Choice
SpaceTech is considering a new project with the following projections for Year 2.
Year 2 Projections
EBIT $400,000
Interest Expense $20,000
Depreciation Expense $40,000
Tax Rate 40%
Incremental Net Working
Capital Needs $200,000
A) $130,000
B) $180,000
C) $230,000
D) $280,000
Correct Answer:
Verified
Correct Answer:
Verified
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