4 The dffcrepce between FSTT and taxable income is t tixos s

4) The dffcrepce between FSTT and taxable income is t) tixos son Cy drvidendl payments 5) Ceteris pwnlwa, if a company\'s tax rabe issus, aioono? interest mprae of sioon, wold care ret inconte to --\'nd the timx\'scaptogu up by 5?,0?down by S10000 by 56000; down by se,00 factors make ret income and gach ssocitlereny, Which theolloaNOT t ator es VD) Teaiment of interest espense

Solution

4) Option (A)

Interest Expense.

EBIT measures firm\'s profit except the interest expenses.

5) Option (c)

When the interest expense is increased, then both the net income and cash flow will go down.

6) Option (b)

Adding Retained earnings doesn\'t make things different.

Inclusion of RE in Sharehlder\'s equity.