An investment services company experienced dramatic growth in the last two decades. The following models for the company's revenue R and expenses or costs C (both inmillions of dollars) are functions of the years past 1990.R(t) = 21.4e0.131t and C(t) = 18.6e0.131t(a) Use the models to predict the company's profit In 2021. (Round your answer to one decimal place.)$ 43.8million(b) How long before the profit found in part (a) is predicted to double? (Round your answer to the nearest whole number.)years after 1990Enter a number.

The revenue function represents the revenue to be generated by the firm after a time 't' while the…

Answered: An investment services company…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Xenix Corp had sales of $353,866 in 2017. If management expects its sales to be $476,450 in 3 years, what is the rate at which the company's sales are expected to grow? (If you solve this problem with algebra round intermediate calculations to 4 decimal places, in all cases round your final answer to 2 decimal places, e.g. 8.72%.) Growth rate %
Consider the following scenario: Blue Hamster Manufacturing Inc.'s income statement reports data for its first year of operation. The firm's CEO would like sales to increase by 25% next year. 1. Blue Hamster is able to achieve this level of increased sales, but its interest costs increase from 10% to 15% of earnings before interest and taxes (EBIT). 2. The company's operating costs (excluding depreciation and amortization) remain at 65% of net sales, and its depreciation and amortization expenses remain constant from year to year. 3. The company's tax rate remains constant at 25% of its pre-tax income or earnings before taxes (EBT). 4. In Year 2, Blue Hamster expects to pay $200,000 and $2,280,656 of preferred and common stock dividends, respectively. Complete the Year 2 income statement data for Blue Hamster, then answer the questions that follow. Be sure to round each dollar value to the nearest whole dollar. Blue Hamster Manufacturing Inc. Income Statement for Year Ending December…
Crane Corp had sales of $322,000 in 2017. If management expects its sales to be $476,450 in 3 years, what is the annual rate at which the company's sales are expected to grow? (Round intermediate calculations to 4 decimal places, e.g. 2.5125 and final answer to 2 decimal places, e.g. 2,515.25.) Annual growth rate %
Determine the percentage increase in annual operating income if Pharoah Corporation increases its selling price by 20% and all other factors (including demand) remain constant. ( Round answer to 2 decimal places, e.g. 15.25% .) Percent increase in profit %
Please write clearly for practice problems
A) Obtain the EFN if the firm plans to have sales growth equal to 20% B) Use your fianncial model to estimate the internal growth rate
Consider the following scenario: Fuzzy Button Clothing Company’s income statement reports data for its first year of operation. The firm’s CEO would like sales to increase by 25% next year. 1. Fuzzy Button is able to achieve this level of increased sales, but its interest costs increase from 10% to 15% of earnings before interest and taxes (EBIT). 2. The company’s operating costs (excluding depreciation and amortization) remain at 70.00% of net sales, and its depreciation and amortization expenses remain constant from year to year. 3. The company’s tax rate remains constant at 40% of its pre-tax income or earnings before taxes (EBT). 4. In Year 2, Fuzzy Button expects to pay $100,000 and $896,963 of preferred and common stock dividends, respectively. Complete the Year 2 income statement data for Fuzzy Button, then answer the questions that follow. Round each dollar value to the nearest whole dollar.
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What is the gross profit declined due to increase in cost in the amount? The management of Bataan Corporation ask you to submit an analysis of the increase in their gross profit in2021 based on their past two-year comparative income statements which show: 2021 2020 Sales 1,237,500 1,000,000 950,000 287,000 Cost of sales 800,000 Gross profit 200,000 The only known factor given is the sales price increased 12.5% beginning January 2021.
The following table contains the liquidity table for an American company. Time buckets considered are between 1 day and 5 years.- On the 1st row, you have the liquidity inflows (received) over 5 years, per bucket- On the 2nd row, you have the liquidity outflows (paid) over 5 years, per bucket- On the 3rd row, you have the cumulative outflow , per bucket You are asked :1. calculate the liquidity GAP = inflows - outflows, per bucket2. calculate the cumulative GAP, per bucket3. What will be the Net interest income variation for the period of 29 days - 3 months, if interest rates have a 3% variation?
Please don't give image based answer ..thanku

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