Louisiana State University, Shreveport FIN FIN 705 XYZ is a “for profit” biz with revenues of $12 mil in 2017….
XYZ is a “for profit” biz with revenues of $12 mil in 2017. Expenses other than depreciation totaled 75 percent of revenues and depreciation expense was 1.5 million. XYZ must pay taxes at rate of 40 percent pretax (operating) income. All revenues collected in cash during year and all expenses other than depreciaiton paid in cash.
What is XYZ profit margin?
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