Temporary Current Assets $302,300 Permanent Current Assets $602,300 Fixed Assets $402,300 Total Assets $1,306,900

Plan-conservative Total Assets % of Total Dollars x Interest Rate = Interest Expense $1,306,900 Long Term - 75 % $980,175 x 10% = $98,018 $1,306,900 Short Term - 25 % $326,725 x 7% = $22,871 Total = $120,889

Earnings Conservative Aggressive Earnings Before Interest & Taxes (EBIT) $1,311,500 $1,311,500 Interest (I) Earnings Before Tax (EBT) Tax (T) Earnings After Tax (EAT)

What is LG's earnings before Tax (EBT) for the conservative financing scenario?

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Answer rating: 100% (QA)

To determine LGs earnings before tax EBT for the conservative financing scenario we need to subtrac... View the full answer