Solution-Pelamed pharmaceuticals has ebit of 300 million

Pelamed Pharmaceuticals has EBIT of $300 million in 2006. In addition, Pelamed has interest expenses of $90 million and a corporate tax rate of 35%.

a. What is Pelamed's 2006 net income?

b. What is the total of Pelamed's 2006 net income plus interest payments?

c. If Pelamed had no interest expenses, what would its 2006 net income be?

d. What is the amount of Pel amed's interest tax shield in 2006?

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Pelamed pharmaceuticals has ebit of 300 million in 2006 in : pelamed pharmaceuticals has ebit of 300 million in 2006. in addition pelamed has interest expenses of 90 million and a

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