User Account

All Pages

Compute the revenues needed to earn the target net income

Assignment Help Accounting Basics
Reference no: EM131663584

Question: CVP analysis, income taxes. The Home Style Eats has two restaurants that are open 24 hours a day. Fixed costs for the two restaurants together total $430,500 per year. Service varies from a cup of coffee to full meals. The average sales check per customer is $8.75. The average cost of food and other variable costs for each customer is $3.50. The income tax rate is 36%. Target net income is $117,600.

1. Compute the revenues needed to earn the target net income.

2. How many customers are needed to break even? To earn net income of $117,600?

3. Compute net income if the number of customers is 170,000.

Reference no: EM131663584

Questions Cloud

Cause an increase in cost : How does complexity in business process such as procurement (purchasing) cause an increase in cost?
Image classification libraries such as imagenet : Is there a course lecture on the available image classification libraries such as ImageNET?
Explain what direct price discrimination is : ECO5000 Assignment. A movie cinema has identified two groups of customers in the market: students and adults. Explain what direct price discrimination is
Demonstrate an immediate application : Approach your topic as though you were arguing for funding that might support a vital new step in understanding e-commerce information systems.
Compute the revenues needed to earn the target net income : CVP analysis, income taxes. The Home Style Eats has two restaurants that are open 24 hours a day. Fixed costs for the two restaurants together total $430,500.
Different type of neural network models : Is there a summary of the different type of neural network models and the best one to use for each application type?
What is the expected value of each agreement : Using information from the original problem, prepare a table that shows the expected profit at each sales level under the fixed leasing agreement.
What is web analytics : What is Web analytics? What are commonly used Web analytics metrics? How are these metrics captured? What is the importance of metrics?
What is the ideal vs actual cell tower cell cluster : What is the ideal vs. actual cell tower cell cluster? Explain why there is a difference (if any). Explain the concept of cell cluster replication.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Considering a new capital investment

Upper Darby Park Department is considering a new capital investment. The following information is available on the investment. The cost of the machine will be $200,000.

  Global financing and exchange rate topics

Choose one of the following topics. Prepare a 1,050- to 1,750-word paper in which you analyze one of the following global financing and exchange rate topics:

  Winona miller president of clj products is considering the

winona miller president of clj products is considering the purchase of a computer-aided manufacturing system that

  Which reflects the appropriate length and sections

The Audit Report and Internal Control Evaluation. This paper should be posted as a Microsoft Word attachment in the Assignment Section and should adhere to APA formatting style.

  Prist co had not provided a warranty on its products but

prist co. had not provided a warranty on its products but competitive pressures forced management to add this feature

  Net realizable value at split-off approach

Assuming that total joint costs are allocated using the net realizable value at split-off approach, what amount of the joint costs was allocated to product XX-1?

  What is the present value of the genoa ltd share

What would you expect the market price for a Genoa Ltd share to be? I.e. what is the present value of the Genoa Ltd share

  Parnell industries buys securities to be available for sale

parnell industries buys securities to be available for sale when circumstances warrant not to profit from short-term

  Holmes inc obtained significant influence over nadal

situation 1hatcher cosmetics acquired 10 of the 212200 shares of common stock of ramirez fashion at a total cost of 14

  Amount and character of loss reported on joint return

During 2010, Vera Venture sold her interests in two small business corporations. Her loss on Ballpoint Pen Corporation stock was $120,000 and her loss on Pencils Corporation stock was $20,000. Both losses qualify under Code Sec. 1244. Vera files j..

  On january 2nd premier sales borrows 13500 cas on a note

on january 2nd premier sales borrows 13500 cas on a note payable from trusted lenders with terms 90 days 12. premier

  Tax liability or tax benefit

what willbe overall effect on net income after tax if the tax rate is 30%? Assume that any tax liability or tax benefit will be taken in the current year.

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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