Question

Last year, Lenny's Lemonade had $3,500 in sales, and cost of goods sold was $2,000. Depreciation expenses totaled $500, and interest expense was $700. If the tax rate is 25%, what is its NOPAT margin?

a. 11.86%

b. 21.43%

c. 26.57%

d. 29.14%

Answer

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