Molteni Motors Inc. recently reported $5.25 million of net income. Its EBIT was $8 million, and its tax rate was 30%. What was its interest expense? (Hint: Write out the headings for an income statement and then fill in the known values. Then divide $5.25 million net income by 1 − T = 0.7 to find the pre-tax income. The difference between EBIT and taxable income must be the interest expense.) Enter your answer in dollars. For example, an answer of $1.2million should be entered as 1,200,000.



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