FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Step 1
Answer to the above first part a)
statement showing the Computaton of NET INCOME
Laiho Industries: Income Statement for Year Ending December 31, 2021 (thousands of dollars)
Particulars |
(in thousands) |
Sales |
$448,650 |
Multiply by:% of EBITDA |
14%. |
EBITDA |
$62,811 |
Depreciation and amortization ($66,107 x 19%) |
-$12,560 |
EBIT |
$50,251 |
Interest expense |
-$8806 |
EBT |
$41,445 |
Taxes ($41445 x 25%) |
-$10361 |
Net income |
$31084 |
Multiply by: Dividend pay out ratio |
48.25% |
DIVIDENDS |
$14998 |
Answer to the question b)
Compute the stockholders equity
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