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Question: Colter Steel has $5,100,000 in assets. Temporary current assets $ 2,200,000 Permanent current assets 1,560,000 Fixed assets 1,340,000 Total assets $ 5,100,000 Assume the term structure of interest rates becomes inverted, with short-term rates going to 12 percent and long-term rates 3 percentage points lower than short-term rates. Earnings before interest and taxes are $1,080,000. The tax rate is 40 percent. Earnings after taxes.

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