This assignment aims to give you practice working with income statement numbers to understand the drivers of net income.

Please show your work, and list out all the items between sales and net income.

1. Sales = 10,000; tax rate is 35%; costs = 6000 (not including depreciation);Depreciation = 1000; Net Income = 1771.25. What is Interest Expense?

2. Sales = 10,000; tax rate is 40%; Net Income =2520; Depreciation = 900;Interest Expense = 400.What is the amount of costs (not including depreciation)?

3. Sales = 10,000; tax rate is 20%; Net Income = 3000; interest expense = 350; costs = 5100 (not including depreciation). What is the amount of depreciation?