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What is this organization earnings

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Problem - A firm has a positive economic value added (EVA) of $500 (all amounts in thousands), long-term debt of $20,000, equity of $40,000, a weighted average cost of capital (WACC) of 9% and a marginal tax rate of 32%. What is this organization's earnings before interest and taxes (EBIT)?

a. $4,012

b. $5,900

c. $8,676

d. $18,438

Reference no: EM132462796

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