1. IfXis $5,000, R-15% and BV is $50,000, what is AE?-5000-(15%*50000)-25002. IfXis $25,000, R-18% and BV is $125,000, what is AE?-25000-(18 % 125000)25003. Assume the firm in requirement 2 can increase x to $30,000 by instituting some cost-cutting measures. What is the new AE?-30000-(18 % 125000)75004. Assume the firm in requirement 2 can divest $25,000 of unproductive capital with X falling by only $2,000. What is the new AE?-25000-2000-(18% *(125000-25000))50005. Assume the firm in requirement 2 can add a new division at a cost of $40,000, which will increase X by $7,600 per year. Would adding the new division increase AE?-25000+7600-(18% *( 125000+40000))2900FALSEAssume the firm in requirement 1 can add a new division at a cost of $25,000, which will increase X by $3,500 per year. Would adding the new division increase AE?5000+3500-(15%*50000+25000)-2750FALSE

To answer these questions, we need to calculate the Adjusted Earnings (AE) based on the given…

Answered: 1. Ixis $5,000, R-15% and BV is…

Advanced Engineering Mathematics

10th Edition

ISBN:9780470458365

Author:Erwin Kreyszig

Publisher:Erwin Kreyszig

Chapter2: Second-order Linear Odes

Section: Chapter Questions

Problem 1RQ

See similar textbooks

Similar questions

The small boatyard WhiteKayaks are building epoxy kayaks, last year they built 156. Each of those requires 12 kg of epoxy, purchased in 6 kg barrels at €170 each, freight cost is €18 per shipment plus €1 per kg. The annual carrying cost is estimated to 20% of the value. a. If the purchase policy is to buy 20 barrels each time, how much time can be spent on administrative work if the order quantity should be considered optimal. The boat-builder costs €25/h. b. If time spent is 30 minutes, what would be the optimal order quantity?
Suppose stock A is priced at $30/share and the company will pay a dividend of $0.30/share after two months. An investor purchases 100 shares of A and invests all dividends received at a continuosuly compunded risk-free rate of 5%. After 3 months the stock is sold when the price is $35.40/share. Calculate the 3-month profit.
If a lump-sum income tax of $30 billion is levied and MPS is 0.2, the consumption schedule will shift
5. [19]27 + [13]27 %3D
4. You want to save for your child’s education, you can either choose an investment that is federally tax free that earns 6% or a taxable investment that earns 7%. If your marginal tax rate is 25%, which should you choose? 5. what formula did you use?
please solve this on a paper
Answer the following problems completely.
Straight-line DepreciationBook value is the value of an asset that a company uses to create its balance sheet.Some companies depreciate their assets using straight-line depreciation so that thevalue of the asset declines by a fixed amount each year. The amount of the declinedepends on the useful life that the company assigns to the asset. Suppose that acompany just purchased a fleet of new cars for its sales force at a cost of $31,500 percar. The company chooses to depreciate each vehicle using the straight-line methodover 7 years. This means that each car will depreciate by +31,500 7 = +4500 per year.(a) Write a linear function that expresses the book value V of each car as a functionof its age, x.(b) Graph the linear function.(c) What is the book value of each car after 3 years?(d) Interpret the slope.(e) When will the book value of each car be $9000?[Hint: Solve the equation V1x2 = 9000.]
If a company has excess capacity, it is contemplating whether a special order should be accepted. The order will not impact regular sales. If the company accepts the special order, what will occur? O Both fixed and variable costs will increase. Net income will increase if the special sales price per unit exceeds the unit variable costs. There are no incremental revenues. Incremental costs will not be affected.
Q6: In the year 2020 you have completed your graduation with HRM specialization from HCT College and joined as an executive in the department of HRM in Petroleum Development Oman (PDO) with a salary of OMR 1650 per month. As per the PDO norms you will be retired from your employment in the year 2060. In order to lead a peaceful and secured life after your retirement, it is estimated that you should need a cash balance of OMR 200,000. a) How much money do you need to deposit now, if money compounds monthly at 8% interest rate? b) How much you need to deposit if your requirement is OMR 250,000 and you retire in the year 2065?
how do you solve a depreciation problem?
A surfboard manufacturer lost $500,000 last year during a recession. Total revenue was $5,000,000 and total variable costs were 40% of sales. The production facility ran at 50% capacity. The production manager wants to know the following: a. What is the percent capacity required to break even? b. When the economy recovers this year, if the plant runs at 100% capacity what net income could the company realize? c. There is a possibility that sales could be so strong this year that the plant may be required to run at 120% capacity by offering a lot of overtime to its production workers. This would result in total variable costs rising by 35%. On a strictly financial basis, should the production manager plan to exceed capacity or should he advise top management to freeze production at 100% capacity? Justify your answer. Answer Solution- 9a. 58.3% 9b. $2,500,000 9c. $3,100,000

SEE MORE QUESTIONS

Recommended textbooks for you

Advanced Engineering Mathematics

Advanced Math

ISBN:

9780470458365

Author:

Erwin Kreyszig

Publisher:

Wiley, John & Sons, Incorporated

Numerical Methods for Engineers

Advanced Math

ISBN:

9780073397924

Author:

Steven C. Chapra Dr., Raymond P. Canale

Publisher:

McGraw-Hill Education

Introductory Mathematics for Engineering Applicat…

Advanced Math

ISBN:

9781118141809

Author:

Nathan Klingbeil

Publisher:

WILEY

Advanced Engineering Mathematics

Advanced Math

ISBN:

9780470458365

Author:

Erwin Kreyszig

Publisher:

Wiley, John & Sons, Incorporated

Numerical Methods for Engineers

Advanced Math

ISBN:

9780073397924

Author:

Steven C. Chapra Dr., Raymond P. Canale

Publisher:

McGraw-Hill Education

Introductory Mathematics for Engineering Applicat…

Advanced Math

ISBN:

9781118141809

Author:

Nathan Klingbeil

Publisher:

WILEY

Mathematics For Machine Technology

Advanced Math

ISBN:

9781337798310

Author:

Peterson, John.

Publisher:

Cengage Learning,

Basic Technical Mathematics

Advanced Math

ISBN:

9780134437705

Author:

Washington

Publisher:

PEARSON

Topology

Advanced Math

ISBN:

9780134689517

Author:

Munkres, James R.

Publisher:

Pearson,

SEE MORE TEXTBOOKS