User Account

All Pages

What is edney’s target fixed assets sales ratio

Assignment Help Finance Basics
Reference no: EM131106485

Edney Manufacturing Company has $2 billion in sales and $0.6 billion in fixed assets. Currently, the company’s fixed assets are operating at 80% of capacity.
a. What level of sales could Edney have obtained if it had been operating at full capacity?
b. What is Edney’s Target fixed assets/Sales ratio?
c. If Edney’s sales increase 30%, how large of an increase in fixed assets will the company need to meet its Target fixed assets/Sales ratio?

Reference no: EM131106485

Questions Cloud

Reducing the setup cost at compserve : The particular logarithmic function proposed in Example 12.4 is just one possibility for the cost of a setup cost reduction. Referring to the previous problem, suppose instead that Machey's has only three possibilities The company can either leave..
Swarten corporation issued share : The stock has a stated value of $2 per share.
Identify and discuss the strategies : Identify and discuss the strategies of when to order (re-order points - ROP) and how to order (economic order quantities - EOQ).
The store never runs out of cameras and profit is maximized : Reconsider Example 12.1. Each time Machey's orders cameras, it incurs a $125 ordering cost. Assume that Machey's could make an investment to decrease this ordering cost.
What is edney’s target fixed assets sales ratio : Edney Manufacturing Company has $2 billion in sales and $0.6 billion in fixed assets. Currently, the company’s fixed assets are operating at 80% of capacity. a. What level of sales could Edney have obtained if it had been operating at full capacity? ..
Assuming that total dividends declared in 2011 : Assuming that total dividends declared in 2011 were $64,000, and that the preferred stock is not cumulative but is fully participating, common stockholders should receive 2011 dividends of what amount?
Explain which software model has more legal implications : Predict the long-term use of both open source and proprietary software models and explain which software model has more legal implications/issues than the other.
Formulate the square root modification of this algorithm : Table 15.2 presents a summary of the EKF algorithm for the supervised training of an RMLP. Using the square root filtering theory described in Chapter 14, formulate the square root modification of this algorithm.
To backlog some demand but estimates : A car dealer must pay $20,000 for each car purchased. The annual holding cost is estimated to be 25% of the dollar value of inventory. The dealer sells an average of 500 cars per year.

Reviews

Write a Review

Finance Basics Questions & Answers

  Project motorcycles the comprehensive project plan

Project Motorcycles The Comprehensive Project Plan

  There is evidence that investors do not fully recognize

there is evidence that investors do not fully recognize the valuation effects of severe pension underfunding. see for

  Making decision in oligopoly markets

McDonald's and Burger King are situated on different corners of a downtown intersection. Burger King and McDonald's compete on the basis of the values they set for their burger, fry, and soda mixture meals.

  Earnings per share computations

Cabana Corporation has 400,000 shares of common stock outstanding throughout 2013. In addition, the corporation has 5,000, 20-year, 9% bonds issued at par in 2011. Each $1,000 bond is convertible into 20 shares of common stock after 9/23/14. During t..

  Find the future values of the following ordinary annuities

Find the future values of the following ordinary annuities: a. FV of $400 paid each 6 months for 5 years at a nominal rate of 12% compounded semiannually b. FV of $200 paid each 3 months for 5 years at a nominal rate of 12% compounded quarterly

  Assess loan options 50 36 calculate the ear for two banks

Assess Loan Options 50 36 Calculate the EAR for two banks

  What must be the dividend yield

Shares of common stock of the Samson Co. offer an expected total return of 21.2%. The dividend is increasing at a constant 5.8% per year. What must be the dividend yield?

  Determine the present value of the bonds

The Garcia company's bonds have a face value of $1,000, will mature in ten years, and carry a coupon rate of 16 percent. Assume interest payments are made semi-annually.

  What is richmond corporation total net cash flow

What is Richmond Corporation's total net cash flow from the current lockbox system available to meet payroll?

  What is the sustainable rate of growth

The Green Giant has a 6 percent profit margin and a 60 percent dividend payout ratio. The total asset turnover is 1.3 and the equity multiplier is 1.6. What is the sustainable rate of growth?

  Determine the ebitinterest coverage ratio of each firm

you are analyzing the leverage of two firms and you note the following all values in millions of dollars nbspdebtbook

  Market driven minimum wage

Provide some example of a market-driven minimum wage? Do you support or disagree with having a market driven minimum wage? Explain your answer.

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