Compute the net income:
Earnings before interest and taxes
Less: Interest paid
Taxable income (Loss)
Less: Taxes at 35 percent
Net income (Loss)
Hence, the net income (loss) is ($140,000).
Ask our subject matter experts your homework question and you'll be notified when it's answered.infoQuestions are typically answered within just a few hours. If your question isn't answered within 48 hours we'll credit your question back.