Bae Inc. has the following income statement. How much net operating profit after taxes (NOPAT) does the firm have?
Sales
$2,000.00
Costs
1,200.00
Depreciation
100.00
EBIT
$ 700.00
Interest expense
200.00
EBT
$ 500.00
Taxes (25%)
125.00
Net income
$375.00
A. $427.62
B. $450.12
C. $473.81
D. $498.75
E. $525.00
Answer: E
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