ROCE determines PBIT, then subtract interest for PBT Steps:

• Capital employed = equity ($3,600,000) + debentures ($1,000,000) = $4,600,000.
• PBIT = ROCE × capital employed = 5% × $4,600,000 =$230,000.
• Profit before tax (PBT) = PBIT - finance costs (interest) = $230,000 -$200,000 = $30,000.
• Taxation costs are irrelevant for PBT calculation.

Why B is correct:

• ROCE formula uses PBIT over capital employed (equity + debt); subtracting interest yields PBT of $30,000.

Why the others are wrong:

• A: Understates PBIT by ignoring full capital employed.
• C: Assumes finance costs are not deducted from PBIT.
• D: Overstates PBT by adding extra interest or miscalculating PBIT.

Final answer: B