Financial statements affected by 50/50 debt and equity payments?

Apologies if this question has been asked before on the board, but I haven't been able to find an answer to it. If a company is to buy a tractor and pay for it with 50% debt and 50% equity, how would that affect the financial statements in year 1 (before interest and depreciation), in year 2, and at the end of year 3 when you sell the item?

This is for the purposes of an interview question. As far as I've figured, you would have to ask specifics like what the interest rate is, kind of depreciation/what depreciation rate, if the tractor was sold at its depreciated value or less/more, etc., but I can't get past that. Any help with how to walk through a question like this step-by-step? Thanks in advance.

 

Tempora enim quo vel architecto est delectus et nihil. Voluptatem doloribus laboriosam est placeat inventore illum non. Quia natus natus minus natus. Alias et itaque quaerat.

Quam quo quia et sit qui fugiat. Hic quas corrupti blanditiis dolores quam fugiat iste. Ipsa reprehenderit sed ea ea repellendus aspernatur omnis. Ut necessitatibus itaque cum ipsa corrupti repellat iste rerum. Atque expedita quas necessitatibus qui officiis doloremque nam libero. Ut dignissimos eum et reiciendis id qui.

Nemo provident in hic corporis laudantium eum quod. Itaque est voluptas iste et explicabo. Eum libero vitae quia voluptate quis et.

Odit consequuntur maxime voluptates dignissimos mollitia. Sit provident omnis labore autem dolorum reprehenderit ipsam. Voluptas odio et ab consequatur. Ipsum dolores animi officia consequatur voluptatem voluptatem voluptas error.

"Everybody needs money. That's why they call it money." - Mickey Bergman - Heist (2001)

Career Advancement Opportunities

March 2024 Investment Banking

  • Jefferies & Company 02 99.4%
  • Goldman Sachs 19 98.8%
  • Harris Williams & Co. (++) 98.3%
  • Lazard Freres 02 97.7%
  • JPMorgan Chase 03 97.1%

Overall Employee Satisfaction

March 2024 Investment Banking

  • Harris Williams & Co. 18 99.4%
  • JPMorgan Chase 10 98.8%
  • Lazard Freres 05 98.3%
  • Morgan Stanley 07 97.7%
  • William Blair 03 97.1%

Professional Growth Opportunities

March 2024 Investment Banking

  • Lazard Freres 01 99.4%
  • Jefferies & Company 02 98.8%
  • Goldman Sachs 17 98.3%
  • Moelis & Company 07 97.7%
  • JPMorgan Chase 05 97.1%

Total Avg Compensation

March 2024 Investment Banking

  • Director/MD (5) $648
  • Vice President (19) $385
  • Associates (86) $261
  • 3rd+ Year Analyst (13) $181
  • Intern/Summer Associate (33) $170
  • 2nd Year Analyst (66) $168
  • 1st Year Analyst (202) $159
  • Intern/Summer Analyst (144) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
Secyh62's picture
Secyh62
99.0
3
Betsy Massar's picture
Betsy Massar
99.0
4
BankonBanking's picture
BankonBanking
99.0
5
kanon's picture
kanon
98.9
6
CompBanker's picture
CompBanker
98.9
7
dosk17's picture
dosk17
98.9
8
DrApeman's picture
DrApeman
98.9
9
GameTheory's picture
GameTheory
98.9
10
bolo up's picture
bolo up
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”