Business
Business, 15.07.2019 23:10, Krystallyah

Interest versus dividend expense michaels corporation expects earnings before in- terest and taxes to be $50,000 for the current period. assuming an ordinary tax rate of 35%, compute the firm’s earnings after taxes and earnings available for common stockholders (earnings after taxes and preferred stock dividends, if any) under the following conditions: a. the firm pays $12,000 in interest. b. the firm pays $12,000 in preferred stock dividends.

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