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Business, 18.10.2019 00:10 ksawyer745

Ford motor company is considering launching a new line of plug-in electric suvs. the heavy advertising expenses associated with the new suv launch would generate operating losses of $35 million next year. without the new suv, ford expects to earn pre-tax income of $80 million from operations next year. ford pays a 30% tax rate on its pre-tax income.

the amount that ford motor company owe in taxes next year without the launch of the new suv is closest to:

a) $24.0 million
b) $56.0 million
c) $31.5 million
d) $13.5 million

the amount that ford motor company owe in taxes next year with the launch of the new suv is closest to:

a) $13.5 million
b) $31.5 million
c) $56.0 million
d) $24.0 million

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Answers: 1

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