The SLG Corp

question 1

Multiple Choice

The SLG Corp.uses no debt.The weighted average cost of capital is 11 percent.The current market value of the equity is $31 million and the corporate tax rate is 34 percent.What is EBIT?

• A)$4,180,000
• B)$4,821,194
• C)$5,166,667
• D)$6,230,018
• E)$6,568,500

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Definitions:

Judges

Officials appointed or elected to decide cases in a court of law.

Inductive Reasoning

A method of reasoning in which the premises are viewed as supplying some evidence, but not full assurance, of the truth of the conclusion.

Precedents

Earlier events, decisions, or legal cases that serve as examples or guides for how similar future instances should be handled or judged.

Judicial Branch

The part of government responsible for interpreting the law, resolving disputes, and administering justice.