Given a sales revenue of $57,807, a variable cost of $29,992 for all goods sold, a...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Given a sales revenue of $57,807, a variable cost of $29,992 for all goods sold, a fixed cost of $10,158 and a tax rate of 12%, what is the change in net profit after tax in percent if sales would be increased by 50%? Give your answer using one decimal. Remember that an increase in sales increases both the sales revenue and the variable costs. Your Answer: Given a sales revenue of $57,807, a variable cost of $29,992 for all goods sold, a fixed cost of $10,158 and a tax rate of 12%, what is the change in net profit after tax in percent if sales would be increased by 50%? Give your answer using one decimal. Remember that an increase in sales increases both the sales revenue and the variable costs. Your Answer:
Expert Answer:
Answer rating: 100% (QA)
To calculate the change in net profit after tax we need to first calculate the current net profit af... View the full answer
Related Book For
Financial Markets and Institutions
ISBN: 978-0077861667
6th edition
Authors: Anthony Saunders, Marcia Cornett
Posted Date:
Students also viewed these accounting questions
-
What is the change in wavelength when monochromatic X-rays are scattered by electrons ons through an angle of 30?
-
What is the change in focus some companies need to make when positioning at the bottom-of-the pyramid?
-
If autonomous expenditures increased by $20 billion, what is the change in aggregate demand at a given price level if the marginal propensity to consume is 0.75?
-
On April 30, the end of the first month of operations, Joplin Company prepared the following income statement, based on the absorption costing concept: Joplin Company Absorption Costing Income...
-
The following comparative income statement (in millions of dollars) for the fiscal years 2003 and 2004 was adapted from the annual report of Speedway Motorsports, Inc., owner and operator of several...
-
You have just been hired as a financial analyst for Lydex Company, a manufacturer of safety helmets. Your boss has asked you to perform a comprehensive analysis of the company s financial...
-
Find the probability density function of the random variable \(Z\) in terms of the known density function \(p_{U}(u)\) when (a) \(z=a u+b\), where \(a\) and \(b\) are real constants. (b)...
-
The contribution margin income statement of Dandy Donuts for May 2012 follows: Dandy sells three dozen plain donuts for every dozen custard-filled donuts. A dozen plain donuts sells for $6, with a...
-
The following case has an error in the journal entry. On January 1, Apple, Inc. received $200,000 worth of pre-orders for the not- yet-released Vision Pro. On January 1, Apple debited cash of...
-
The names of the employees of Matson Office Systems and their regular salaries are shown in the following payroll register. Note that Wayne and Young are paid monthly on the last payday, while all...
-
3 of the Spice Girls (Emma, Geri, and Mel C.) have each placed a charge at the corners of an equilateral triangle of side 1.20 m (see the figure). Emma's charge (Q) is +2.8 C. Geri's charge (Q2) is...
-
Greetings, I have two cases with different types of responses, I would like you to collaborate with me with the solution focused on business intelligence for an e-commerce: Statement 1 The Tiloud...
-
Purchase price of the equipment is $460,000. This is a 7 year MACRS asset. Use MACRS method of depreciation. Provide a deprecation schedule for the first four years of the asset. Year Purchase Price...
-
Evaluate using the Change of Base Formula. Express in terms of a common or natural logarithm, then round to 3 decimal places. log, 50 = log(50) / log(3) 3.560
-
Suppose, you want to start a small business. prepare at least 5 slides on what is your small business and outline some of the requirements to create and maintain it. What are few strategies to become...
-
A new employee at an organization has trouble accurately filling out the forms they are required to complete for her/his job. It would be correct to say this is caused by a lack of motivation and...
-
Vista Manufacturing Sdn Bhd incurred direct material cost of RM20,000, direct labour cost of RM10,000, product delivery fees of RM5,000 and production overhead cost of RM35,000. Calculate the...
-
Fahrad Inc. sells all of its product on account. Fahrad has the following accounts receivable payment experience: Percent paid in the month of sale .........10 Percent paid in the month after the...
-
Refer again to the bond information in Problem 1. You expect to hold the bond for three more years then sell it for $ 990. If the bond is expected to continue paying $ 75 per year over the next three...
-
Use the information in the following stock quote to calculate Abercrombie & Fitchs earnings per share over the last year. (2 (3) 4(5) (6 (7) ( (9 (10 et %Chg Volume Chg (12) (13 14 (15) YTD 52 week...
-
What are the definitional differences between Common Equity Tier I, Tier I, and Tier II capital?
-
In developing a capital budgeting portfolio, there are times when a project with a lower return is squeezed in to the budget but a higher-return project is excluded. How can this be fair? Wouldn't...
-
If bond money tends to be the least expensive cost of capital, why do we bother with the WACC in project analysis? It seems like the cost of equity is hard to estimate, and maybe we are just guessing...
-
In capital budgeting, a distinction has been made regarding the process of "assessment" as being distinctively different than "evaluation." What is the difference and why is it important?
Study smarter with the SolutionInn App