Global Corp. initially projected the 2019 income statement shown in the table E. Suppose that in 2019, Global launched an aggressive marketing campaign that boosted 2019 sales further by 14.1%....

Extracted text: Global Corp. initially projected the 2019 income statement shown in the table E. Suppose that in 2019, Global launched an aggressive marketing campaign that boosted 2019 sales further by 14.1%. However, their operating margin fell from 5.56% to 4.49% Suppose that they had no other income, interest expenses were unchanged, and taxes were the same percentage of pretax income (26%) as in 2018. a. What was Global's EBIT in 2019? b. What was Global's income in 2019? c. If Global's P/E ratio (18.0) and number of shares outstanding (3.6 million) remained unchanged, what was Global's share price in 2019? a. What was Global's EBIT in 2019? Global's EBIT was $ million. (Round to two decimal places.) b. What was Global's income in 2019? Net income was $ million. (Round to two decimal places.) c. If Global's P/E ratio (18.0) and number of shares outstanding (3.6 million) remained unchanged, what was Global's share price in 2019? Global's share price in 2019 was $. (Round to the nearest cent.)


Extracted text: GLOBAL CORPORATION Income Statement Year ended December 31 (in $ millions) 2019 2018 Net sales 186.7 176.1 Cost of sales - 153.4 - 147.3 Gross profit 33.3 28.8 - 13.5 - 13.0 Selling, general, and administrative expenses Research and development - 8.2 - 7.6 Depreciation and amortization - 1.2 - 1.1 Operating income 10.4 7.1 Othe ncome Earnings before interest and taxes (EBIT) Interest income (expense) 10.4 7.1 - 7.7 - 4.6 Pretax income 2.7 2.5 Taxes - 0.7 - 0.6 Net income 2.0 1.9 Earnings per share: Diluted earnings per share: $0.56 $0.53 $0.53 $0.50