Question

Hi, I try to find pre tax and effective tax rate. Here is the formula they give us and I plug the number in.
However, I don't know how to find pretax income and effective tax rate.
Last time, the pre tax was given in the financial statement as income before income tax expense,
but there was none this time. So I have to cacluate. They dont' give us the tax rate. Could you help me, please?

Sales		1,731,894
Cost of sales		(296,820)
Gross profit		1,435,074
R&D expenses		(690,592)
Marketing expenses		(339,274)
Administrative and IT expenses		(144,649)
Operating income from continuing operations		260,559
Goodwill depreciation		0
Other non-current operating income and expenses		(38,242)
Operating income		222,317
Interest on borrowings		(17,732)
Income from cash		1,823
Net borrowing cost		(15,909)
Result from foreign-exchange operations		(5,747)
Other financial expenses		(56)
Other financial income		8,312
Net financial income		(13,400)
Share in profit of associates		(224)
Total income tax		(69,241)
Income for the period		139,452

Computation of the effective tax rate
Total income tax		(69,241)
Income tax adjustment( earning quality issue)		0
Adjusted income tax		(69,241)
pretax income( I try to find by revenue-expense, but it dosen't seem right)		1,693,652
Effective income tax ( Again, I try to find it by 69,241/1693,652)		4%

Answer 1

Multi step income statement
Sales			1,731,894
Cost of sales			(296,820)
Gross profit			1,435,074
R&D expenses		(690,592)
Marketing expenses		(339,274)
Administrative and it expenses		(144,649)
Total operating expense			(1,174,515)
Operating income from continuing operations			260,559
Other non-current operating income and expenses			(38,242)
Operating income			222,317
Interest on borrowings	(17,732)
Income from cash	1,823
Net borrowing cost		(15,909)
Result from foreign-exchange operations		(5,747)
Other financial expenses		(56)
Other financial income		8,312
Net financial income			(13,400)
Share in profit of associates			(224)
Income before tax			208,693
Total income tax			(69,241)
Net income			139,452

Effective income tax rate
Total income tax expense	69,241
Divided by: income before tax	208,693
Effective income tax rate	33.1784%
Effective income tax rate (rounded)	33.18%