12. When creating common-size income statements, the analyst divides each item by a. The equivalent base-year value b. Assets c. The base year asset value d. Sales Your firm has the following income statement items: sales of $50,250,000; income tax of $1,744,000; operating expenses (including depreciation) of $10,115,000; cost of goods sold of $35,025,000; and interest expense of $750,000. What is the amount of the firm's EBIT? 13. a. $58,000,000 b. $15,552,000 C$4,630,000 d. $5,110,000 For these types of organization, no distinction is made between business and personal assets 14. a. General partnership b. Sole proprietorship c. Limited partnership d. All of the above e. Both A and B Which of the following reasons is most responsible for corporations being the most important form of business organization in the United States? 15. a. Corporations are subject to less government regulation than the other forms of business organization. Corporations are subjected to less taxation than the other forms of business organization b. c. Stockholders have unlimited liability. Corporations have the ability to raise larger sums of capital than the other f business organization. d. e. Corporations have limited life