The Best Appliances had the following revenue over the past five years View the revenus data To predict revenues for 2025, The Best Appliances uses the average for the past five years. The company's breakeven revenue is $800,000 per year What is The Best Appliances predicted margin of safety in dollars for 2025? OA. $800,000 OB. 10 OC. $200,000 OD. $100,000 Revenue data 2020 2021 2022 2023 2024 Print $ 600,000 700,000 900,000 800.000 1,000,000 Done - X

The Best Appliances had the following revenue over the past five years View the revenus data To predict revenues for 2025, The Best Appliances uses the average for the past five years. The company's breakeven revenue is $800,000 per year What is The Best Appliances predicted margin of safety in dollars for 2025? OA. $800,000 OB. 10 OC. $200,000 OD. $100,000 Revenue data 2020 2021 2022 2023 2024 Print $ 600,000 700,000 900,000 800.000 1,000,000 Done - X

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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AFN equation Broussard Skateboard's sales are expected to increase by 15% from $7.8 million in 2019 to $8.97 million in 2020. Its assets totaled $5 million at the end of 2019. Broussard is already at full capacity, so its assets must grow at the same rate as projected sales. At the end of 2019, current liabilities were $1.4 million, consisting of $450,000 of accounts payable, $500,000 of notes payable, and $450,000 of accruals. The after-tax profit margin is forecasted to be 6%, and the forecasted payout ratio is 50%. Use the AFN equation to forecast Broussard's additional funds needed for the coming year. Enter your answer in dollars. For example, an answer of $1.2 million should be entered as $1,200,000. Do not round intermediate calculations. Round your answer to the nearest dollar. $
AFN equation Broussard Skateboard's sales are expected to increase by 20% from $7.0 million in 2019 to $8.40 million in 2020. Its assets totaled $3 million at the end of 2019. Broussard is already at full capacity, so its assets must grow at the same rate as projected sales. At the end of 2019, current liabilities were $1.4 million, consisting of $450,000 of accounts payable, $500,000 of notes payable, and $450,000 of accruals. The after-tax profit margin is forecasted to be 5%, and the forecasted payout ratio is 65%. Use the AFN equation to forecast Broussard's additional funds needed for the coming year. Enter your answer in dollars. For example, an answer of $1.2 million should be entered as $1,200,000. Do not round intermediate calculations. Round your answer to the nearest dollar. $
Below is a major portion of the income statements of KTA Inc. for 2020 and 2021: Sales Cost of Sales Gross Margin 2020 P80,000 50,000 P30,000 2021 P97,200 72,000 P25,200 The firm sold its sole product for P8/unit during 2020. Even though the sales units increased by 20% during 2021, the gross margin declined. Disappointed with the results, the owner asked for your assistance in analyzing the cause of the gross margin decline. A. 1.25% B. (1.25%) Percentage increase (decrease) in sales price. C. (2.125%) D. 2.125%
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The sales and profit for two years are as below: Sales Profit 2019 50000 15000 2020 90000 35000 Calculate PV ratio
The following series of revenues and expenses in $1000 units were recorded by a mobile phone business. At a return rate of 10% per year, (a) determine the net future worth in year 10. (b) Did the owners make their expected 10% return? How do you know? Year Revenues, $ Expenses, $ 0 0 −2500 1–4 700 −200 5–10 2000 −300
AFN equation Broussard Skateboard's sales are expected to increase by 15 % from $7.6 million in 2019 to $8.74 million in 2020. Its assets totaled $5 million at the end of 2019. Broussard is already at full capacity, so its assets must grow at the same rate as projected sales. At the end of 2019, current liabilities were $1.4 million, consisting of $450,000 of accounts payable, $500,000 of notes payable, and $450,000 of accruals. The after-tax profit margin is forecasted to be 4%, and the forecasted payout ratio is 60%. Use the AFN equation to forecast Broussard's additional funds needed for the coming year. Enter your answer in dollars. For example, an answer of $1.2 million should be entered as $1,200,000. Do not round intermediate calculations. Round your answer to the nearest dollar.
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The Crowne Plaza in Kitchener has 238 rooms and achieved an occupancy of 68% for 2023 with an average daily rate of $158.76. They anticipate growth of 8% in occupancy for 2024 with no change in their ADR. Using this information, calculate their rooms sold and occupancy for 2024: 2023 Results Rooms Available Occupancy Rooms Sold Average Daily Rate Revenue ROOMS AVAILABLE
You have the following historical year information: New purchases Sales of old equipment Gross fixed assets, ending $300.00 $12.00 $4,000.00 You also know the following assumptions: Growth in new purchases will be 5% in the first year, and 10% in all subsequent years. Sales of equipment % New purchases will be constrained to 3% / year indefinitely. Produce an excel sheet that shows: 1. 5-year projection of all (3) data points.
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