What is the amount of? pelameds interest tax shield

Assignment Help Financial Management
Reference no: EM131490314

Pelamed Pharmaceuticals had EBIT of $429 million in 2010. In? addition, Pelamed had interest expenses of$115 million and a corporate tax rate of 30%. a. What is? Pelamed's 2010 net? income? b. What is the total of? Pelamed's 2010 net income plus interest? payments? c. If Pelamed had no interest? expenses, what would have been its 2010 net? income? How does it compare to your answer in part ?(b?)? d. What is the amount of? Pelamed's interest tax shield in? 2010?

Reference no: EM131490314

Questions Cloud

Determine scotts net capital gain or net capital loss : HA3042 TAXATION LAW - Discuss the effect on the assessable income of the parent and Discuss whether or not the three payments are income from personal exertion
In which of given markets do you expect efficient outcomes : In recent years, a number of states have instituted taxes on patrons of nude and topless dance bars. Such taxes are known as "sin taxes," because they target.
Incremental value creation will the buyout plan achieve : How much incremental value creation will the buyout plan achieve?
Brief explanation of the public health program : A brief explanation of the public health program you selected. Then explain what elements of the program stood out to you and why
What is the amount of? pelameds interest tax shield : What is the total of? Pelamed's 2010 net income plus interest? payments? What is the amount of? Pelamed's interest tax shield in? 2010?
Set up an edge worth box to depict this situation : Consider an economy with two people, Henry and Catherine, who consume two commodities, bread and water. Suppose that, due to a drought, the authorities decide.
What is the gauge pressure in the lower pipe : What is the gauge pressure in the lower pipe? The acceleration of gravity is 9.81 m/s 2 . Answer in units of Pa.
Describe the important of williamson work : Describe the important of Williamson's work for healthcare supply chain. Explain transaction cost economics
Brief description of the community you have selected : Provide a brief description of the community you have selected. Provide a description of the primary socio-ecological factors related to the health issue

Reviews

Write a Review

Financial Management Questions & Answers

  Assuming an annual inflation

You purchased a machine for $750,000 (installed), and you depreciated it using a 7 year MACRS. This machine generates $300,000 in revenue. In the prior problem, assume that you have a 12% MARR, What is your NPW and IRR? NPW? You think that you need $..

  About how much is the annual payment

You need $275,000 to start a business. A bank will loan you the money at 7.63% for 20 years with annual payments. About how much is the annual payment?

  What was the stock price per share

What was the stock price per share of General Motors common stock at year end 2016? How did this compare to basic earnings per share? Would you invest (buy stock) in General Motors? Why or why not?

  What is jack weighted average cost of capital

Jack's Construction Co. has 100,000 bonds outstanding that are selling at par value. The bonds yield 10.2 percent. The company also has 4.7 million shares of common stock outstanding. The stock has a beta of 1.9 and sells for $55 a share. The U.S. Tr..

  What is the percentage price change of these bonds

Bond J has a coupon rate of 6 percent and Bond K has a coupon rate of 12 percent. Both bonds have 20 years to maturity, make semiannual payments, and have a YTM of 9 percent. If interest rates suddenly rise by 2 percent, what is the percentage price ..

  Accounting net income and operating cash flow

Operating Cash Flow In comparing accounting net income and operating cash flow, name two items you typically find in Net Income that are not in Operating Cash Flow. Explain why each is excluded from Operating Cash Flow.

  Straight-line depreciation to zero for seven-year life

you purchased a machine for $ 1.13 million three years ago and have been applying? straight-line depreciation to zero for a? seven-year life. Your tax rate is 40 %. If you sell the machine today? (after three years of? depreciation) for $ 772000, wha..

  What is its sustainable growth rate

A company has a retention rate of 50%, sales of $25,000, beginning equity of $50,000 - What is its sustainable growth rate?

  Calculate the weighted average cost

Given the following information, calculate the weighted average cost for the Ban Corp.

  What will the timescale of the flow about the model

If the full scale vehicle experiences the unsteady effects at a Mach number of 1 at an altitude of 40,000 ft, what pressure must the model be tested at to produce an equal Reynolds number?

  What is the price of the bond

A corporate bond's price is quoted as 98.110. What is the price of the bond if its par value is $1,000?- A corporate bond's price is quoted as 102.312. If the bond's par value is $1,000, what is its market price?

  The risk-adjusted opportunity cost of capital

A project is estimated to have a net present value equal to $85,000. The risk-adjusted opportunity cost of capital is 15 percent. Which of the following statements is most correct? The project’s IRR is greater than 15 percent.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd