Lear, Inc. has $1,800,000 in current assets, $750,000 of which are considered permanent current assets. In addition, the firm has $1,000,000 invested in capital assets. a. Lear wishes to finance all capital assets and half of its permanent current assets with long-term financing costing 10 percent Short- term financing currently costs 5 percent. Lear's earnings before interest and taxes are $600,000. Determine Lear's earnings after taxes under this financing plan. The tax rate is 30 percent. Earnings after taxes $ b. As an alternative, Lear might wish to finance all capital assets and permanent current assets plus half of its temporary current assets with long-term financing. The same interest rates apply as in part a. Earnings before interest and taxes will be $600,000. What will be Lear's earnings after taxes? The tax rate is 30 percent Earnings after taxes $ c. Not available in Connect