Question

Delta Ray Brands Corp. just completed their latest fiscal year. The firm had sales of $17,222,500. Depreciation and amortization was $860,000, interest expense for the year was $878,100, and selling general and administrative expenses totaled $1,410,400 for the year, and cost of goods sold was $10,567,400 for the year. Assuming a federal income tax rate of 34%, what was the Delta Ray Brands net income after-tax? Round to the nearest cent.

Answer 1

Sales	$          1,72,22,500
Less:
Cost of goods sold	$          1,05,67,400
Depreciation and amortization	$                8,60,000
interest expense	$                8,78,100
selling general and administrative expenses	$              14,10,400
Income before tax	$              35,06,600
Tax ($3506600*34%)	$              11,92,244
Net Income After Tax	$              23,14,356