Problem:
United Brands Corp. just completed their latest fiscal year. The firm had sales of $16,650,000. Depreciation and amortization was $832,500, interest expense for the year was $825,000, and selling general and administrative expenses totaled $1,665,000 for the year, and cost of goods sold was $9,990,000 for the year.
Required:
Question: Assuming a federal income tax rate of 34%, what was the United Brands net income after-tax?
Note: Please explain comprehensively and give step by step solution.