1. As a logistics manager, you have collected the following data Annual data Sales volume Average...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
1. As a logistics manager, you have collected the following data Annual data Sales volume Average Sales Price $40 million Transportation cost-$12 million Warehousing cost $5 millon Inventory Cost -25% of average inventory Cost of goods per unit-$20 Other operating costs $60 million Average inventory-$12 million Accounts receivable - $35 million Cash at hand $20 million Net fixed assets-$95 mallion Interest-$12 million Taxes40% of (EBIT-Interest) Current liabilities= $70 million Long-term habilities - $40 million Stockholders equity-$52 million Compute the net income before answering the following questions Calculate the following a Profit margin b. Return on assets. c. Return on equity EWORK 4(1) Saved to this PC out References Mailings C ity: Good to g View Help Acubat $ AtbCtx Aalbcc AaBbC 1 No 1o Spa Heading! hp Styles 144 Compute the net income before answering the following questions Calculate the following: Profit margin b Return on assets. e Return on equity. d Debt-equity ratio e Inventory turns f Transportation as a percentage of sales g Warehousing as a percentage of sales h. Inventory carrying cost as a percent of sales 2. In the above scenario, you start using knowledge of supply chain management, and devise procedures and practices that would help reduce transportation cost by 10%, warehousing cost by 5%, other operating cost by 10% However, your inventory cost goes up by 5% Everything else remains the same as in scenario I above. Compute the net income again and recalculate the answers of (a) to (h) above 300 I find- Replace Select- Editing Create Ade 1. As a logistics manager, you have collected the following data Annual data Sales volume Average Sales Price $40 million Transportation cost-$12 million Warehousing cost $5 millon Inventory Cost -25% of average inventory Cost of goods per unit-$20 Other operating costs $60 million Average inventory-$12 million Accounts receivable - $35 million Cash at hand $20 million Net fixed assets-$95 mallion Interest-$12 million Taxes40% of (EBIT-Interest) Current liabilities= $70 million Long-term habilities - $40 million Stockholders equity-$52 million Compute the net income before answering the following questions Calculate the following a Profit margin b. Return on assets. c. Return on equity EWORK 4(1) Saved to this PC out References Mailings C ity: Good to g View Help Acubat $ AtbCtx Aalbcc AaBbC 1 No 1o Spa Heading! hp Styles 144 Compute the net income before answering the following questions Calculate the following: Profit margin b Return on assets. e Return on equity. d Debt-equity ratio e Inventory turns f Transportation as a percentage of sales g Warehousing as a percentage of sales h. Inventory carrying cost as a percent of sales 2. In the above scenario, you start using knowledge of supply chain management, and devise procedures and practices that would help reduce transportation cost by 10%, warehousing cost by 5%, other operating cost by 10% However, your inventory cost goes up by 5% Everything else remains the same as in scenario I above. Compute the net income again and recalculate the answers of (a) to (h) above 300 I find- Replace Select- Editing Create Ade
Expert Answer:
Related Book For
Project Management Achieving Competitive Advantage
ISBN: 978-0133798074
4th edition
Authors: Jeffrey K. Pinto
Posted Date:
Students also viewed these accounting questions
-
The Austin, Texas plant of Computer Products produces disk units for personal and small business computers. Gerald Knox, the plant's production planning director, is looking over next year's sales...
-
D Hawk entered the market in early 2018. D Hawk manufactures camera drones, selling primarily to retailers. D Hawk is pleased with its financial performance over its first few years of operations,...
-
You are the financial manager of Ashdown plc: a US company which has just signed a contract for the sale of a computer system in the UK for 3,000,000 in a year's time. You have collected the...
-
For the increasing marginal-extraction-cost model of the allocation of a depletable resource, how would the ultimate cumulative amount taken out of the ground be affected by (a) An increase in the...
-
(a) Starting with the Proca Lagrangian density (12.91) and following the same procedure as for the electromagnetic fields, show that the symmetric stress-energy-momentum tensor for the Proca fields...
-
Calculate the angular velocity of an electron orbiting a proton in the hydrogen atom, given the radius of the orbit is 0.530 x 10 -10 m. You may assume that the proton is stationary and the...
-
The Arizona Corporation reported positive net income but negative cash flow from operations. Further, despite the negative cash flow from operations, the company continued to pay its regular dividend...
-
The mean cost of domestic airfares in the United States rose to an all-time high of $385 per ticket (Bureau of Transportation Statistics website, November 2, 2012). Airfares were based on the total...
-
a . Identify the Process Setup / Process type and Order Fulfillment approach. ( 1 5 pts . ) Hope you achieved the goal in simulation to score all the points! Please identify the process type ( batch...
-
Gabi Gram started The Gram Co., a new business that began operations on May 1. The Gram Co. completed the following transactions during its first month of operations. May 1 G. Gram invested $40,000...
-
The following information comes from an American Airlines baggage-handling truck. Item Amount Cost of truck $41000 Estimated residual value 1000 Estimated useful life:Years 5years Units of production...
-
On January 1 Primary Manufacturing had a beginning balance in Work-in-Process Inventory of $82,000 and a beginning balance in Finished Goods Inventory of $22,000. During the year, Primary incurred...
-
Len is a keen rugby fan. He sees this advertisement: Rugby World Cup in Australia Be There! See 8 rugby games including one semi-final and the final: Then spend 10 days touring the Australian Outback...
-
#2: If 2 masses 7 kg and 17 kg have velocities <6,-10 > and respectively, find the final velocities of the 17 kg objects a) Find the final velocity of the 5 kg object if the collision is elastic...
-
Evaluate, correct to 2 decimal places When a = 3.43 b=1.55 c = 5.78 d = -0.26 ab-cd c2 d
-
Trey Monson starts a merchandising business on December 1 and enters into the following three inventory purchases. Monson uses a perpetual inventory system. Also, on December 15, Monson sells 15...
-
Log ( p - 8 ) = 3 . 4 write solution set with exact solution
-
Suppose that fraction used = / 1.0 + 0.1Mt. for some parameter 1. Write the discrete-time dynamical system and solve for the equilibrium. Sketch a graph of the equilibrium as a function of ....
-
What is a drum resource? Why is the concept important to understand in order to better control resource requirements for project portfolios?
-
1) Suppose you were a project manager for Disney. Based on the information in this case, what critical success metrics do you think the company uses when designing a new ride; that is, how would you...
-
1) Assess the benefits and drawbacks of the high-speed rail project. In your opinion, do benefits outweigh drawbacks, or vice versa? Why? Justify your answer. 2) What are the implications of starting...
-
Presented below are cash flow data for L.A. Gear Inc. During this period of time, the manufacturer of athletic shoes and sportswear experienced a 1200 percent growth in net income. Required 1....
-
L.A. Gear, a manufacturer of sports shoes and sportswear, began operations in the early 1980s. By late 1996, however, the company was in bankruptcy. Following are cash flow data for the company for...
-
The following financial data were taken from the Catalina Divers Supply Company for the year ended December 31, 2017. Required Using the above data, prepare the 2017 statement of cash flow for...
Study smarter with the SolutionInn App