User Account

All Pages

Construct the firm income statement

Assignment Help Accounting Basics
Reference no: EM133104908

Question - Profitability analysis - Last year the P. M. Postem Corporation had sales of $433,000, with a cost of goods sold of $113,000. The firm's operating expenses were $126,000, and its increase in retained earnings was $88,610. There are currently 23,000 shares of common stock outstanding, the firm pays a $1.63 dividend per share, and the firm has no interest-bearing debt.

a. Assuming the firm's earnings are taxed at 35 percent, construct the firm's income statement.

b. Compute the firm's operating profit margin.

Reference no: EM133104908

Questions Cloud

What is the breakeven point in unit sales : What is the breakeven point in unit sales and dollars for each type of Bat at the current sales mix if the tax rate is 40%
What is the market share variance : Sales revenue was only BHD 9 per unit. It is realised that the budgeted sales units were too optimistic, What is the market share variance
Prepare a trial balance as at July : Prepare a trial balance as at 31 July 2021 - July 10 The company received cash $1,500 as fees for services provided to a customer
Describe key characteristics of enterprise systems : Describe key characteristics of Enterprise Systems and Explain the concept of ERP systems, including its evolution, components, and architecture
Construct the firm income statement : The firm pays a $1.63 dividend per share, and the firm has no interest-bearing debt. Construct the firm income statement
What the total financial income to be recognized : ABC leases an asset from XYZ, a lease financier, At XYZ's perspective, the total financial income to be recognized for the entire term of the lease is
Journalize the selected transactions for october : Journalize the following selected transactions for October 20Y2 in a two-column journal. Journal entry explanations may be omitted
Differentiate current liabilities to non-current liabilities : Define liabilities. What are the essential characteristics of an accounting liability? Differentiate current liabilities to non-current liabilities
Analyze each transaction and show the effect of each : Analyze each transaction and show the effect of each on the accounting equation for a corporation. Purchased inventory on account at a cost of $128,000

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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