1 a company with a tax rate t of 30 books an expense of 36, Ask an Expert

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1. A company with a Tax Rate (T) of 30% books an expense of $3.6 million dollars to record Depreciation Expense for a piece of Equipment. What is the net effect of this expense on the company’s consolidated cash flow?

a. $3,600,000

b. $1,080,000

c. $2,520,000

d. $1,860,000

e. None of the above

2. Suppose trader Jean is neutral on the market, which trading strategy (or strategies), will you recommend to him? (Choose one and the best answer)

Long a butterfly

Long a put

Long a call

Long a bear spread

Short a butterfly

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92845004

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