Assume a corporation has earnings before depreciation and

Assignment Help Finance Basics
Reference no: EM13569680

Assume a corporation has earnings before depreciation and taxes of $116,000 depreciation of $44,000 and is in a 30 percent tax bracket.

(a) How much would cash flow be if there were only $13,000 in depreciation? All other factors are the same.

(b) How much cash flow is lost due to the reduced depreciation between $44,000 and $13,000?

Reference no: EM13569680

Questions Cloud

Carson incs manager believes that economic conditions : carson inc.s manager believes that economic conditions during the next year will be strong normal or weak and she
Beach control systems will invest 90000 in a temporary : beach control systems will invest 90000 in a temporary project tat will generate the following cash inflows for the
The accounting records of bronco company revealed the : the accounting records of bronco company revealed the following informationraw materials used 78000direct
Jim angel holds a 200000 portfolio consisting of the : jim angel holds a 200000 portfolio consisting of the following
Assume a corporation has earnings before depreciation and : assume a corporation has earnings before depreciation and taxes of 116000 depreciation of 44000 and is in a 30 percent
Calculate the profit margin and gross profit rate for the : the following selected data was retrieved from the walmart inc. financial statements for the year ending january 31
The accounting records of georgia company revealed the : the accounting records of georgia company revealed the following costs direct materials used 340000 direct labor 465000
Delta mowers has a debt-equity ratio of 12 its wacc is 101 : delta mowers has a debt-equity ratio of 1.2. its wacc is 10.1 percent and its cost of debt is 7.5 percent. there is no
Products manufactures three types of remote-control devices : products manufactures three types of remote-control devices economy standard and deluxe. the company which uses

Reviews

Write a Review

Finance Basics Questions & Answers

  What are the companys capital structure weights on a book

What are the company's capital structure weights on a book value basis?

  What is organizational structure and what are

what is organizational structure and what are organizational controls? what are the differences between strategic

  What is the value of the forward contract

A 2-year long forward contract on a non-dividend-paying stock is entered into when the stock price is $138 and the risk-free interest rate is 9.3% per annum with continuous compounding. 1 year later, the price of the stock is $146 and the risk-fre..

  Calculate the correct balance of cash

Comparing the company's cash records with the monthly bank statement reveals several additional cash transactions such as checks outstanding of $3,880, deposits outstanding of $1,230, NSF check of $300, and service fee of $50.

  Estimate the number of cds he must sell to break even

Jennifer is considering opening a music store. She wants to estimate the number of CDs he must sell to break even. The CDs will be sold for $13.98 each, variable operating costs are $10.48 per CD, and annual fixed operating costs are $73,500.

  Computation of earnings per share at the given net income

Computation of Earnings per share at the given net income in addtion to this calculate the return on investment using the Du Pont method

  Compute the dealers expected carry incomea dealer in

compute the dealers expected carry income.a dealer in government securities is considering buying 875000000 in 10-year

  Depreciate the equipment using straight-line method

SAC is planning the purchase of new equipment to manufacture specialty spark plugs. The new machine would allow the company to manufacture 100,000 additional spark plugs per year.

  What are the advantages of click and brick retailers

Discuss the advantages of established click and mortar companies such as walmart over pure play e tailers. conversly, what are the advantages of click and brick retailers as compared with pure play e tailers?

  What would the percentage change in price of bond dave be

If rates were to suddenly fall by 2 percent instead, what would the percentage change in the price of Bond Dave be then?

  What must be the coupon rate on the bond

Large Industries bonds sell for $1,065.15. The bond life is 9 years, and the yield to maturity is 7%. what must be the coupon rate on the bond?

  If you deposit 2500 in a bank account that earns 8

if you deposit 2500 in a bank account that earns 8 annually on a continuously compounded basis what will be the

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd