Das Corp had originally expected to earn operating income of $150,000 in the coming year. Das's degree of operating leverage is 3.1. Recently, Das revised its plans and now expects to increase sales by 15% next year. What is the percent change in operating income expected by Das in the coming. year?
Q: A company reported total equity of $200,000 on its December 31, 2020, balance sheet. The following…
A: Step 1: Definition of Total AssetsTotal assets refer to the sum of all economic resources owned by a…
Q: Need help with this question solution general accounting
A: Step 1: Definition of Fair Value of an InvestmentThe fair value of a growing perpetuity is…
Q: provide correct option general accounting question
A: Step 1: Define Interest on a Note PayableInterest on a note payable is the cost incurred by a…
Q: Provide solution with step by step calculation
A: Step 1: Given Value for Calculation Earning Per Share = eps = $15Market Price per Share = mpps = $90…
Q: What is the amount of the annual net income for the firm?
A: we use the Price-to-Earnings (P/E) ratio formula:P/E Ratio = Market Price per Share ÷ Earnings per…
Q: Please solve. and provide correct solution
A: The Return on Equity (ROE) is calculated using the formula:ROE=Net Income/Total Equity Step 1: Find…
Q: MCQ
A: The Debt to Equity Ratio is calculated using the formula:Debt to Equity Ratio=Total Debt/Total…
Q: accounting questions answer
A: To calculate the Times Interest Earned (TIE) ratio and the Return on Invested Capital (ROIC) for…
Q: Accurate Answer
A: Concept of Variable CostingVariable costing is a method of cost accounting where only variable costs…
Q: The amount of Purchases is
A: Step 1: Definition of PurchasesPurchases refer to the total cost of inventory bought during a…
Q: I need correct option this question general accounting
A: Step 1: Definitions Predetermined overhead rate: A rate set in advance to allocate manufacturing…
Q: What are the total equivalent units?
A: Explanation of Beginning Work-in-Process Inventory: Beginning work-in-process inventory represents…
Q: need help this questions
A: Step 1: Definition of Current LiabilitiesCurrent liabilities are short-term financial obligations…
Q: Budgeted cash collections in March?
A: Explanation of Collection Schedule: This represents the pattern or timeline of when a company…
Q: Accurate Answer
A:
Q: Venture gross profit is
A: Explanation of Gross Profit:Gross Profit represents the amount a company earns after deducting the…
Q: How much overhead or over absorbed ?
A: Step 1: Definition of Over- or Under-Absorbed OverheadOver- or under-absorbed overhead refers to the…
Q: What was its charge for depreciation and amortization?
A: Step 1: Define Interest ExpensesA firm's ongoing expenses related to debt financing are interest…
Q: Describe the reasons why it is important that auditors should plan their audit work.
A: Step 1: Following are the reasons why it is important that auditors should plan their audit work:…
Q: A machine is purchased for $25,000 and has a salvage value of $3,000. The estimated life is 8 years,…
A: Step 1:Please note that any cost which are incurred upto put that asset in use will be part of cost…
Q: Get accurate answer of this financial accounting question
A: Step 1: Define Straight-Line DepreciationStraight-line depreciation is a method of allocating the…
Q: sales must have amounted to ?
A: To solve this, we use the Contribution Margin Approach: Given:Break-even sales = $950,000Variable…
Q: Don't use ai given answer accounting questions
A: Given:Sales = $960Total Assets = $600Debt/Equity Ratio = 1.50Return on Equity (ROE) = 14% or…
Q: Total equity is 920
A:
Q: What does this ratio measure?
A: To compute the Return on Assets (ROA) for Shiva Corp. in the current year, we will follow a…
Q: Problem for accounting question please solve
A: The total acquisition cost of the new building includes all expenses directly related to its…
Q: Compute the following requirements for this accounting question?
A: Step 1: Define Manufacturing OverheadManufacturing Overhead refers to all indirect costs incurred…
Q: Calculate the amount of goodwill.
A: Step 1:Goodwill is an intengible asset which is classified under assets section of balance sheet.…
Q: Provide answer
A: Step 1: Determine the asset's depreciable cost.= cost of equipment - residual value= $30,000 -…
Q: Cost of goods manufactured is
A: Step 1: Definition of Cost of Goods ManufacturedThe cost of goods manufactured (COGM) is the total…
Q: merchandise inventory lost in the flood
A: Step 1: Definition of Inventory Loss EstimationThe gross profit method is used to estimate inventory…
Q: stockholders' equity for Summit Enterprises is
A: Step 1: Definition of Stockholders' EquityStockholders' equity represents the ownership interest of…
Q: Calculate the sales volume variance and the sales price variance
A: Concept of Sales Volume VarianceSales volume variance measures the difference between the actual…
Q: What is the depreciation for year 2 ?
A: Step 1:Under the straight-line method, the depreciation expense is calculated by dividing the…
Q: Calculate the debt Equity ?
A: The Debt-to-Equity Ratio is calculated using the formula:Debt-to-Equity Ratio=Total EquityTotal…
Q: Sun Electronics operates a periodic inventory system. At the beginning of 2022, its inventory was…
A: Step 1: Definition of Cost of Goods Sold (COGS)Cost of Goods Sold (COGS) represents the direct costs…
Q: Need help with this financial accounting question
A: Concept of RevenueRevenue refers to the total income a business earns from its core operations…
Q: Provide answer
A: Stockholders' Equity represents the owners' claim on a company's assets after all liabilities have…
Q: Please give me answer general accounting question
A: Step 1: Definition of Accounting EquationThe accounting equation states that:Assets = Liabilities +…
Q: Help this correct options is accounting
A: Step 1: Definition of Units Transferred to Next ProcessIn a process costing system, units are…
Q: Everton Manufacturing reported the following liabilities on its trial balance at December 31, 2021:…
A: Step 1: Definition of Current LiabilitiesCurrent liabilities are a company's short-term financial…
Q: budgeted indirect cost allocation rat fore this activity?
A: Step 1: Definition of Cost AllocationMost production companies today have different service…
Q: Please solve this problem general accounting question
A: Step 1: Define Return on Equity (ROE)Return on Equity (ROE) is a measure of profitability relative…
Q: What is the receivable turnover ratio for the second year? General accounting
A: Step 1: Definition of Receivable Turnover RatioThe receivable turnover ratio is a financial metric…
Q: On January 1, 2023, Pharoah Ltd. had 702,000 common shares outstanding. During 2023, it had the…
A:
Q: BrightTech Corp. reported the following cost of goods sold (COGS) figures over three years: • 2023:…
A: Step 1: Definition of Percentage IncreasePercentage increase is a measure of how much a value has…
Q: Can you help me with accounting questions
A: Step 1: Definition of Adjusted Gross Income (AGI)Adjusted Gross Income (AGI) is a taxpayer's total…
Q: want answer
A: Depreciation expense represents the allocation of the cost of a tangible asset over its useful life.…
Q: Market value per share of this company's stock?
A: To find the market value per share, we use the formula:Market Value per Share=Earnings per…
Q: Financial Accounting Problem
A: Step 1: IntroductionBeginning Owners' Equity = $135,000Net Income = $42,000Dividends Paid =…
Correct answer this question
Step by step
Solved in 2 steps
- Suppose the company has just the opposite news and now expects unit sales for August, September, and October to be double (200%) the original estimates. What effect will this have on the company’s net income and borrowing? Explain your findings.Global Corp. expects sales to grow by 7% next year. Using the percent of sales method and the data provided in the given tables LOADING... , forecast: a. Costs except depreciation b. Depreciation c. Net income d. Cash e. Accounts receivable f. Inventory g. Property, plant, and equipment h. Accounts payable (Note: Interest expense will not change with a change in sales. Tax rate is 26%.) The Tax Cuts and Jobs Act of 2017 temporarily allows 100% bonus depreciation (effectively expensing capital expenditures). However, we will still include depreciation forecasting in this chapter and in these problems in anticipation of the return of standard depreciation practices during your career. Income Statement Net Sales 185.3Costs Except Depreciation -175.4EBITDA 9.9Depreciation and Amortization -1.2EBIT 8.7Interest Income (expense) -7.7Pretax Income 1Taxes (26%) -0.3Net Income 0.7 Balance Sheet Assets Cash 23.4Accounts…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 %
- Bulawayo Products Company anticipates reaching a sales level of Sh.6 million in one year.The company expects earnings after taxes during the next year to equal Sh.400,000. During thepast several years, the company has been paying Sh.50,000 in dividends to its stockholders. Thecompany expects to continue this policy for at least the next year. The actual balance sheet andincome statement for Baldwin during 2019 follow.Bulawayo Products Company Balance Sheet as of December 31, 2019Cash Sh. 200,000 Accounts payable Sh. 600,000Accounts receivable 400,000 Notes payable 500,000Inventories 1,200,000 Long-term debt 200,000Fixed assets, net 500,000 Stockholders’ equity 1,000,000Total assets Sh.2,300,000 Total liabilities and equity Sh. 2,300,000Income Statement for the year Ending December 31, 2019Sales Sh. 4,000,000Expenses, including interest and taxes Sh.3,700,000Earnings after taxes Sh. 300,000Required:a) Using the percentage of sales method, calculate the additional financing…HiTech Electronics manufactures two new products,Tablets andTouch Screen Remotes, and sells them nationally to wholesalers andretailers. The HiTech management is very pleased with the company’sperformance for the current fiscal year. Projected sales throughDecember 31, 2022, indicate that 70,000Tablets and 140,000Remoteswill be sold this year. The projected earnings statement, which appearsbelow, shows that HiTech will exceed its earnings goal of 9 percent onsales after taxes.The Tablet business has been fairly stable for the last few years,and the company does not intend to change the Tablet price. However,the competition among manufacturers of Touch Screen Remotes has beenincreasing. HiTech’sRemotes have been very popular with consumers.In order to sustain this interest in theirRemotes and to meet the pricereductions expected from competitors, management has decided to reducethe wholesale price of its calculator from $22.50 to $20.00 per uniteffective January 1, 2023. At the same…Sunland Corp had sales of $389,000 in 2017. If management expects its sales to be $476,450 in 4 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 %
- A company has profits of $38,982 this year and expects profits to decrease by $1,728 dollars per year over the next 12 years. If the profits will be continuously invested in an account bearing 6.2% APR compounded continuously, what is the 12-year present value of this income stream?The following tables contain financial statements for Dynastatics Corporation. Although the company has not been growing, it now plans to expand and will increase net fixed assets (i.e., assets net of depreciation) by $200,000 per year for the next 5 years, and it forecasts that the ratio of revenues to total assets will remain at 1.50. Annual depreciation is 10% of net fixed assets at the beginning of the year. Fixed costs are expected to remain at $68 and variable costs at 80% of revenue. The company’s policy is to pay out two-thirds of net income as dividends and to maintain a book debt ratio of 20% of total capital. INCOME STATEMENT, 2019(Figures in $ thousands) Revenue $ 1,800 Fixed costs 68 Variable costs (80% of revenue) 1,440 Depreciation 80 Interest (8% of beginning-of-year debt) 24 Taxable income 188 Taxes (at 40%) 75 Net income $ 113 Dividends $ 75 Addition to…The following tables contain financial statements for Dynastatics Corporation. Although the company has not been growing, it now plans to expand and will increase net fixed assets (i.e., assets net of depreciation) by $200,000 per year for the next 5 years, and it forecasts that the ratio of revenues to total assets will remain at 1.50. Annual depreciation is 10% of net fixed assets at the beginning of the year. Fixed costs are expected to remain at $60 and variable costs at 80% of revenue. The company’s policy is to pay out two-thirds of net income as dividends and to maintain a book debt ratio of 20% of total capital. INCOME STATEMENT, 2019(Figures in $ thousands) Revenue $ 1,800 Fixed costs 60 Variable costs (80% of revenue) 1,440 Depreciation 80 Interest (8% of beginning-of-year debt) 24 Taxable income 196 Taxes (at 40%) 78 Net income $ 118 Dividends $ 79 Addition to…
- The following tables contain financial statements for Dynastatics Corporation. Although the company has not been growing, it now plans to expand and will increase net fixed assets (i.e., assets net of depreciation) by $200,000 per year for the next 5 years, and it forecasts that the ratio of revenues to total assets will remain at 1.50. Annual depreciation is 10% of net fixed assets at the beginning of the year. Fixed costs are expected to remain at $60 and variable costs at 80% of revenue. The company's policy is to pay out two- thirds of net income as dividends and to maintain a book debt ratio of 20% of total capital. INCOME STATEMENT, 2019 (Figures in $ thousands) Revenue $1,800 Fixed costs Variable costs (80% of revenue) Depreciation Interest (8% of beginning-of-year debt) Taxable income Taxes (at 40%) 60 1,440 80 24 196 78 Net income 118 Dividends Addition to retained earnings $ 79 $ 39 BALANCE SHEET, YEAR-END (Figures in $ thousands) 2019 Assets Net working capital Fixed assets…The sales revenue of Kam Chan Limited for 2014 is $100 million. The CEO talked to the sales director in December of 2014. The board has set a target of $400 million for 2019 and expects that there should be stable annual growth of sales over the 5 years period. What should be the annual growth rate for Kam Chan Limited? (no decimal place is required)Globex Corp. has forecasted sales of $30.0 million for next year and expects its cost of goods sold (COGS) to remain at 80% of sales. Currently, the firm holds $2.8 million in inventories, $2.3 million in accounts receivable, and $2.4 million in accounts payable. (Use 365 days are the length of a year in all calculations.) a. Approximately how long does it currently take Globex Corp. to convert raw materials to its finished products and then to sell them? b. On average, how long does it take from the time a sale is made until the time cash is collected from customers? c. Globex Corp. relies on customer credit when it buys raw materials from its suppliers. How long does it take after the firm purchases materials before it sends cash to its suppliers? d. What is the length of Globex Corp.'s cash conversion cycle (CCC)?
