What would be the net income per year

Assignment Help Accounting Basics
Reference no: EM133070558

Question - Tabitha manufactures a product that sells very well. The capacity of her facility is 239,000 units per year. The fixed costs are $113,000 per year and the variable costs are $13 per unit. The product currently sells for $16.

a. What total revenue is required for a net income of $479,000 per year?

b. If sales were at 70% of the capacity and the variable costs decreased by 25%, what would be the net income per year?

Reference no: EM133070558

Questions Cloud

Prepare the journal entries in gen z limited : Gen Z Limited agreed to supply and install the generator before the 30th of June 2020 - Wahoo Limited agreed to pay R150 000, Prepare the journal entries
Identify amount of risk of stock held in isolation : a) Using the returns on the S&P 500 Composite Index as the proxy for the overall stock-market return, estimate the monthly average return, the standard devi
What should be the stock price today : Q1. You believe stock price by year end will have the following multinomial distribution:
Standard deviation of the portfolio : Suppose that you have a portfolio comprised of just two stocks (stock A and stock B). 15% of your money is in Stock A and 85% is in Stock B.
What would be the net income per year : If sales were at 70% of the capacity and the variable costs decreased by 25%, what would be the net income per year
What the total present value of the three investments : If the constant annual discount rate appropriate to all the payments is 6% per annum, what the total present value of the three investments
Total value of investment in selma change : You own 8% or 75,000 shares of Selma, Inc. Your shares have a total market value of $1,200,000. By what percentage will the total value of your investment in Se
What is the average endowment balance : UMS, an elite private school in Texas, currently has an endowment of 1.7 billion dollars. The university has agreed to fund new academic initiatives over the ne
Compute the irr of the project : The mover's basic price is $50,000, and it will cost another $10,000 to modify it for special use by Ellis Construction. Compute the IRR of the project

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.

  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!

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