Reference no: EM1355513
Reported $9,000 of sales, $6,000 of operating costs other than depreciation, and $1,500 of depreciation. The firm had no amortization charges, it had issued $4,000 of bonds that carry a 7% interest rate, and its federal-plus-state income tax rate was 40%. 2006 data are expected to remain unchanged except for one item, depreciation, which is expected to increase by $1,000. By how much will the depreciation change cause the firm's net income and net cash flow to change?
Note that the company uses the same depreciation for tax and stockholder reporting.
EVA
· Net income = $600,000.
· Tax rate = 40%.
· Interest expense = $200,000.
· Total investor-supplied operating capital employed = $9 million.
· After-tax cost of capital = 10%.
What is the company's EVA?
-$300,000
-$180,000
$ 0
$200,000
$400,000
|
Testing and assessment in clinical psychology
: Please give an explanation of the outcomes and importance of testing and assessment in clinical psychology.
|
|
Accounting databases to obtain relevant data
: The use of accounting databases enables researchers to obtain data to help answer their questions more efficiently. Using the FASB Codification database and other sources such as the SEC Web site as guides, answer the following questions:
|
|
Find out probability that first faulty item doesnot occur
: It is assumed that quantity of item is intended of other items find out probability that first faulty item doesnot occur in the first six selected items.
|
|
What is the magnitude of each of these forces
: A 5 kg fish is swimming at a speed of 1ms swallows a 1.00 kg fish swimming toward it at 4 m/s. The speed of the larger fish after lunch is what.
|
|
Find the value of depreciation change
: Reported $9,000 of sales, $6,000 of operating costs other than depreciation, and $1,500 of depreciation. The company had no amortization charges, it had issued $4,000 of bonds that carry a 7 percent interest rate,
|
|
Abuses of testing and assessment
: Two or more of the best uses of testing and assessment and two or more of the most blatant abuses of testing and assessment.
|
|
Valuation by us gaap and ifrs
: Is there a difference in approach to valuation by US GAAP and IFRS? Discuss and note two or three specific differences. In addition, briefly:
|
|
What is the work done by each horse
: What is the tension in each cable if angle between each and the direction the crate moves is 12°.
|
|
Illustrate what information do you need to determine
: Suppose a nation picks 1000 young adults at random to serve in the army. Illustrate what information do you need to determine the cost of using these people in the Army.
|