What number of visits is required to break even

Assignment Help Finance Basics
Reference no: EM132395525

You are considering staring a walk in clinic and your financial projections for the first year of operations are as following

Revenues (10,000 visits) $400,000

Wages & Benefits $ 220,000

Rent $5,000

Depreciation $30,000

Utilities $2,500

Medical Supplies $ 50,000

Administrative Supplies $ 10,000

Assume that all cost are fixed except supply cost, which are variable. Furthermore assume that the clinic must pay taxes of 30%

a.) What number of visits is required to break even?

b.) What number of visits is required to provide you with an after tax profit of $100,000

Reference no: EM132395525

Questions Cloud

What is the price of a european call option : What is the price of a European call option according to the Black-Sholes formula on a non-dividend-paying stock when the stock price is $45, the strike price
What is the duration of the bond : The bond sells at par value with a face value of $1,000. a) What is the duration of the bond?
EP001 Use Systems Perspective To Understand The Whole Child : EP001 Use A Systems Perspective To Understand The Whole Child assignment help and assessment help, Walden University - Describe Mahaley's microsystem.
Short-selling is equivalent to borrowing money from the bank : Consider a three-year bond with a face value of $100 and an annual coupon of $11. If its yieldto-maturity is 12%, the bond is traded at a discount.
What number of visits is required to break even : You are considering staring a walk in clinic and your financial projections for the first year of operations are as following
Calculate the payback period-npv and irr : Pappy's has a tax rate of 40 percent and a required return of 13 percent. Calculate the payback period, NPV, and IRR.
How big does the balloon payment have to be in order : BMW charges 2.0% per annum. How big does the balloon payment have to be in order for your monthly payments to be $1000?
Operations manager for a multinational company : You are the treasury operations manager for a multinational company. You have been tasked with recommending a cash-investment strategy
Standard deviation of the overall payoff of bank a : The standard deviation of the overall payoff of Bank A is?

Reviews

Write a Review

Finance Basics Questions & Answers

  The determination letter program

Most qualified plan sponsors seek an advance determination letter from the IRS stating that the plan provisions meet Code requirements.

  Assume that the 90 growth rate is expected to continue

mexican motors market cap is 370 billion pesos. next years free cash flow is 10.0 billion pesos. security analysts are

  Why is real property a better tax base than personal

1. Why is real property a better tax base than personal property?

  Develop a financial plan for the next three years

HSA525 Assignment - Assessing Financial Performance and Its Impact on Merger Acquisition. Develop a financial plan for the next three years

  The 2008 balance sheet of marias tennis shop inc showed 23

the 2008 balance sheet of marias tennis shop inc. showed 2.3 million in long-term debt 700000 in the common stock

  The bond pays 3000 every six months the current market

you have an opportunity to buy a 1000 bond which matures in 10 years. the bond pays 30.00 every six months. the

  Example of a perpetuity or an annuity

Give your own example of a perpetuity or an annuity, explaining what type it is and calculating its present (or future) value.

  John takes a long position in a call on a stock

John takes a long position in a call on a stock with a certain exercise price and selling a call option on the same stock with higher exercise price. Draw his total payoff diagram?

  Describe the key relationships that must be maintained

Describe the key relationships that must be maintained within the general ledger.

  Explain how a firm should evaluate domestic investment

7BSP1245 Finance for International Business - Explain how a firm should evaluate domestic investment projects by evaluating the American Creations project

  Explain why sunk costs should not be included in a capital

explain why sunk costs should not be included in a capital budgeting analysis but opportunity cots and externalities

  What are the tax consequences on the dividends

What are the tax consequences on the dividends after the first year if Joe is in the 33% marginal tax bracket?

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!

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