Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Whitman Company has just completed its first year of operations. The company’s absorption costing income statement for the year appears below: Whitman Company Income Statement Sales (41,000 units × $44.60 per unit) $ 1,828,600 Cost of goods sold (41,000 units × $23 per unit) 943,000 Gross margin 885,600 Selling and administrative expenses 471,500 Net operating income $ 414,100 The company’s selling and administrative expenses consist of $307,500 per year in fixed expenses and $4 per unit sold in variable expenses. The $23 per unit product cost given above is computed as follows: Direct materials $ 10 Direct labor 4 Variable manufacturing overhead 3 Fixed manufacturing overhead ($294,000 ÷ 49,000 units) 6 Absorption costing unit product cost $ 23 1. Prepare the company’s income statement in the contribution format using variable costing. 2. Reconcile any difference between the net operating income on your variable costing income statement and the net operating income on the absorption costing income statement.
You are attempting to value a call option with an exercise price of $102 and 1 year to expiration. The underlying stock pays no dividends, its current price is $102, and you believe it has a 50% chance of increasing to $121 and a 50% chance of decrea..
Your mortgage lender requires that your monthly mortgage payments not exceed 30% of your gross income and your total loan payments cannot exceed 38% of gross income. Your gross income is $6,802/mo while you have electronics loan payment of $517/mo, f..
The total book value of the firm’s equity is $12 million; book value per share is $24. The stock sells for a price of $45 per share, and the cost of equity is 15%. The firm’s bonds have a face value of $6 million and sell at a price of 130% of face v..
Benson designs has prepared the following estimates for a long term project it is considering. The initial investment is 20,230 and the project is expected to yield after tax cash inflows of 4000 per year for 8 years . The firm has a cost of capital ..
Selena Gomez has asked you to analyze the following stock as a possible investment. It's most recent dividend was $1.95. Selena believes that the dividend will grow at the rate of 3.25% annually for the next 3 years. Find the expected dividends. Find..
Consider an economy with a large number of potential online game providers. The provider lacks the funds to start their projects. There is an equal number of investors who have the funds but no desire to create online games. Compute the expected retu..
Assets A B C D Initial investment $15,000 $15,000 $15,000 $15,000 Annual rates of return Pessimistic 8% 5% 3% 11% Most Likely 12% 12% 12% 12% Optimistic 14% 13% 15% 14% Which asset would a Risk-Averse Manager prefer? show me your work that leads to y..
We are evaluating a project that costs $744,000, has a six-year life, and has no salvage value. Assume that depreciation is straight-line to zero over the life of the project. Sales are projected at 45,000 units per year. Price per unit is $60, varia..
Assume the CAPM holds, and you are given the following values. Expected return on Malware stock = 12% What is the expected return on the market? Show your calculation.
How much should a new graduate pay in 10 equal annual payments, starting 2 years from now, in order to repay $30000 load he has received today? The interest rate is 6% per year. This is from Engineering Economic Analysis 12th edition, problem 6-16. A..
The YTM on a bond is the interest rate you earn on your investment if interest rates don’t change. If you actually sell the bond before it matures, your realized return is known as the holding period yield (HPY). What is the HPY on your investment?
Dime a Dozen Diamonds makes synthetic diamonds by treating carbon. Each diamond can be sold for $160. The materials cost for a standard diamond is $60. The fixed costs incurred each year for factory upkeep and administrative expenses are $218,000. Wh..
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd