Oriental Manufacturing recently reported the following information: Net income is P600,000, ROA is 8%, and Interest expense is P225,000. Oriental Manufacturing tax rate is 35 %. What is its basic earnings power (BEP) ratio?

Oriental Manufacturing recently reported the following information: Net income is P600,000, ROA is 8%, and Interest expense is P225,000. Oriental Manufacturing tax rate is 35 %. What is its basic earnings power (BEP) ratio?

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter6: Accounting For Financial Management

Section: Chapter Questions

Problem 3P

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