What percentage change in sales occurs if profits increase by 2% when the firm's degree of operating leverage is 3.5?
Q: You were asked to analyze the information given below in the Trial Balance of the Consolidated Fund…
A: Detailed explanation:Total Revenue Collected : Taxes$ 11,400…
Q: Hi Tutor solve this and give small explanation
A: To solve this, let's evaluate each option based on U.S. federal income tax rules regarding gross…
Q: Please provide the Transfer Pricing Schedule/Policy under the Optimum Transfer Pricing Method for…
A: 1] Opportunity CostThe variable cost + opportunity cost is usually the transfer price under the best…
Q: i want to answer of this Question of Accounting Subject please solve it fast as posible
A: Step 1: Define Retained EarningsRetained earnings are the amount of income that companies do not…
Q: I need step by step answer
A: Explanation of Revenue: Revenue is the total amount of money generated from providing services or…
Q: Accounting Theoretical Question. In developing accounting policies, what weight should be given to…
A: Definitions:Industry-Specific Practices: These are accounting methods and procedures tailored to…
Q: Please provide questions answer Accounting
A: Step 1: Define Profit Volume ratio The profit volume (P/V) ratio shows the amount of profit or…
Q: provide answer this financial account questions with choose correct options
A: Operating expenses: $57,000 (not used for Gross Profit calculation)Sales returns and allowances:…
Q: FINANCIAL ACCOUNTING Q. 36
A: Explanation of Extraordinary Items: Extraordinary items are events or transactions that are both…
Q: I need typing clear urjent no chatgpt used i will give 5 upvotes pls full explain
A:
Q: Actual Cost of Direct Materials $ 225,000 Standard Cost of Direct Materials $ 224,800 Actual…
A: The materials price variance is calculated as the difference between the actual cost of materials…
Q: Anthony herrera recently fulfilled his long time dream
A: Step 1: Define Contribution MarginThe contribution is the product price less variable costs. The…
Q: I want to correct answer general accounting
A:
Q: Question
A: Explanation of Expected Defective Units:Expected defective units are calculated based on an…
Q: Accounting question
A: Step 1: Define Operating LeverageOperating leverage is needful to measure to what extent the…
Q: What characterizes dynamic cost analysis in modern accounting?
A: Explanation of Dynamic Cost Analysis: This is a modern accounting approach that provides real-time…
Q: Please give me answer general accounting
A: Step 1: Introduction to ratio analysisRatio analysis is a method used to analyze financial…
Q: Need help with this question solution general accounting
A: Step 1:Given,Dividend payout ratio: 0.7Required rate of return: 10%Expected growth rate: 5% Step…
Q: Hello tutor please provide this question solution general accounting
A: Step 1: Define Return on Assets (ROA)Return on Assets (ROA) is a profitability ratio that indicates…
Q: Solve this step by step
A: Step 1: List all the given:Beginning Count: 250Purchased: 300Sold: 420Physical Count: 115 Step 2:…
Q: Required information [The following information applies to the questions displayed below.] On…
A: Journal EntryThe fair value adjustment ensures the investment is reported at its market value on the…
Q: Give answer
A: Explanation of Accrued Interest: This represents interest that has been incurred but not yet paid on…
Q: I want to correct answer general accounting
A: Step 1: Define Retail Inventory MethodThe retail inventory method can be used by retailers to…
Q: DCL Industries purchased a supply of mechanical components from E Corporation on November 1, 2024 In…
A: In the given scenario, DCL Industries purchased mechanical components on November 1, 2024, for…
Q: Palouse Company completed the salary and wage payroll for the month of March. The payroll provided…
A: Step 1:Prepare the journal entry to record the payroll for March, including employee deductions.…
Q: I need typing clear urjent no chatgpt used i will give 5 upvotes pls full explain
A: More explain
Q: Please I need correct answer accounting
A: Step 1: Define Unit Product CostThe unit product cost is the manufacturing cost per item assigned to…
Q: find out gross profit------
A: Step 1: Calculate Net SalesNet sales is the total sales minus sales returns and allowances, and…
Q: Kerala Manufacturing
A: Explanation of Cash Book Balance: The cash book balance refers to the balance of cash and cash…
Q: Determined the value of materials
A: Explanation of Opening Stock:Opening Stock refers to the value of raw materials or inventory that a…
Q: please solve given general accounting problems
A: Step 1: Introduction to inventory valuationInventory valuation is referred to as that method which…
Q: Jones engineering has $60000 in assets. This question solution
A: Step 1: Define Accounting EquationAn accounting equation emphasizes that the left-hand side of a…
Q: Financial accounting
A: Step 1: Define Price to earnings ratioPrice to earning ratio also known as the PE ratio shows the…
Q: Helpp
A: Option a: This option is incorrect because the arm's length principle is irrelevant in accounting…
Q: Need help with this accounting question
A: Step 1: Define Absorption CostingAbsorption costing is one of the costing methods used to prepare…
Q: Tell me answer tutor
A: Explanation of Dynamic Cost Analysis:Dynamic cost analysis refers to a flexible accounting method…
Q: None
A: a. Net FUTA tax:FUTA taxable payroll: $749,080 - $464,150 = $284,930Net FUTA tax: $284,930 * 0.006 =…
Q: General Accounting Question solution
A: Step 1: Define Financing Activities:The financing activities of the business include the sale of…
Q: Need General Accosting Method Solution
A: Step 1: Define Expected Collections:Expected Collections refer to the monetary amount that an…
Q: Want detailed explanation
A: In case you are not satisfied with what I provided above (or you just want to get some more ideas in…
Q: Please give me answer general accounting
A: Explanation: Share price as per Gordon growth model is calculated using the following formula:Share…
Q: Please provide correct answer accounting question
A: Step 1: Define Notes ReceivableNotes Receivable is a written promise to pay for a transaction…
Q: Overhead Cost for the year was
A: Explanation of Predetermined Overhead Rate:The predetermined overhead rate is calculated before the…
Q: Consider the following projects: accounting question
A: The Profitability Index (PI) is calculated as:Profitability Index=Present Value of Future Cash Flows…
Q: Hi expert can you solve this given cost account questions?
A: Step 1:Gross profit is difference between sales revenue and cost of goods sold.This is the profit…
Q: Following the inventry
A: To calculate the ending inventory balance using the lower of cost or net realizable value (NRV)…
Q: Records at the Farnsworth Corporation contained the following data for the most recent period of…
A: Direct Labor Variances1. Labor Price Variance - The labor price variance tells us whether the…
Q: Get Answer Of this One with Method of Accounting
A: Step 1: Define Direct labor varianceDirect labor variance is computed to determine the difference…
Q: Thanks for your support
A: Triple Bottom Line (TBL) reporting enhances traditional financial statements by going beyond the…
Q: Final Cash Balance?
A: Explanation of Opening balance: The opening balance refers to the initial amount of petty cash…
Get correct answer accounting
Step by step
Solved in 2 steps
- What is the percentage change in sales?Hy expert give me solutionYour business plan for your proposed start-up firm envisions first-year revenues of $180,000, fixed costs of $60,000, and variable costs equal to one-third of revenue. a. What are expected profits based on these expectations? (Round your answer to nearest whole number.) Expected profit b. What is the degree of operating leverage based on the estimate of fixed costs and expected profits? (Round your answer to 2 decimal places.) Degree of operating leverage c. If sales are 10% below expectation, what will be the percentage decrease in profits? (Round your answer to nearest whole number.) Decrease in profits %
- Then the decrease sales??Suppose sales volume increase by the same percentage for Company X and Company Y. Use CVP analysis to explain which company will experience a larger percentage increase in profits? Company X - Dominated by fixed expenses; or Company Y - Dominated by variable expenses.which of the following occurs if a company decreases its selling price per unit? a. net income increase b. more than one of the answers would occur c. contribution margin ration increase d. break even point increase e. contribution magrin increase
- which one is correct please confirm? QUESTION 7 A firm that has a 2.5 DOL (degree of operating leverage) would find that an 8% increase in EBIT would result from a ____ increase in sales. a. 3.2% b. 5.4% c. 20.0% d. 2.0%Consider a company that pays out all its earnings (i.e., the payout ratio = 1 or plowback/retention ratio=0). The required return for the firm is 13%. Compute the intrinsic P/E if its ROE is 15%. Compute the intrinsic P/E if its ROE is 20%. Discuss why your answers to parts (a) and (b) differ or do not differ from one another. Suppose that the company’s ROE is 13%. Compute its intrinsic P/E value. Would the answer to part (d) change if the company retained half of its earnings instead of paying all of them out? Discuss why or why not.1. What is the present yearly net operating income or loss? 2. What is the present break-even point in unit sales and in dollar sales? 3. Assuming that the marketing studies are correct, what is the maximum annual profit that the company can earn? At how many units and at what selling price per unit would the company generate this profit?
- Need helpWhen sales volume increases, which company will experience a larger percentage increase in profit: company X, which has mostly fixed expenses, or company Y, which has mostly variable expenses?11. Assume a company has a payout ratio of 45 percent, a profit margin of 4 percent, a cost of equity of 10 percent and a growth rate of 2.5 percent. a. What is the forward price-sales multiple? b. What is the trailing price-sales multiple?
