Alva Nunez is a punch press operator for Drummond Machine Company. She earns

Volbeat Corp. shows the following information on its 2015 income statement: sales = $275,000; costs = $188,000; other expenses =

Verdich [7]

Answer: (1) $61,495

(2) $17,200

(3) $5,400

Explanation:

Given that,

sales = $275,000

costs = $188,000

other expenses = $7,900

depreciation expense = $15,200

interest expense = $13,600

taxes = $17,605

dividends = $10,500

new equity issued = $5,100

Net new long-term debt = $3,600

EBIT = sales - depreciation expense - costs - other expenses

= $275,000 - $15,200 - $188,000 - $7,900

= $63,900

EBT = EBIT - Interest

= $63,900 - $13,600

= $50,300

EAT = EBT - Taxes

= $50,300 - $17,605

= $32,695

Retained earnings = EAT - Dividends

= $32,695 - $10,500

= $22,195

(1) operating cash flow = EBIT - Taxes + depreciation expense

= $63,900 - $17,605 + $15,200

= $61,495

(2) cash flow to creditors = Interest - Net new long-term debt

= $13,600 - (-$3,600)

= $17,200

(3) cash flow to stock holders = Dividend - net new equity

= $10,500 - $5,100

= $5,400

3 0

4 years ago

In material requirement planning calculations, gross requirements for finished products are taken from ________________________.

Ipatiy [6.2K]

Answer:

Forecasted sales

Explanation:

In the production process amount of inventory purchased for producing goods must be carefully calculated.

This avoids waste incurred from buying excess of materials needed for operation. Also when there is shortage of materials time and resources are wasted getting more materials.

So when calculating material requirements for finished products it is important that we consider sales forecasts.

Materials purchased based on this will just adequately meet the demand for product.

This reduce cost of storage of excess materials.

7 0

4 years ago

ABC Company is considering investing in new production equipment at a cost of $60,000 with a 10-year useful life and no salvage

ikadub [295]

Answer:

a. Operating Income = Sales - Production Cost - Depreciation Expense

Operating Income = $100,000 - $82,600 - $6,000

Operating Income = $11,400

b. Average Investment = (Initial Equipment Cost + Residual Value) / 2

Average Investment = ($60,000 + $0) / 2

Average Investment = $60,000 / 2

Average Investment = $30,000

c. Accounting Rate of Return = (Operating Income / Average Investment) * 100

Accounting Rate of Return = ($11,400 / $30,000) * 100

Accounting Rate of Return = 0.38 * 100

Accounting Rate of Return = 38%

7 0

3 years ago

Look at the sales prices change that is being suggested. In particular, Winetki talks about one of the product's prices as doubl

PilotLPTM [1.2K]

The calculation of a revised break-even point in units for the firm as a whole, using the weighted-average contribution margin approach is 1,155,556 units.

<h3>What is the weighted-average contribution margin?</h3>

The weighted-average contribution margin shows the average amount that a group of products or services contribute to meet the fixed costs.

The weighted-average contribution margin can be computed as Aggregate sales - Aggregate variable expenses) ÷ Number of units sold.

<h3>Data and Calculations:</h3>

Aggregate sales revenue = $1,800,000

Aggregate variable costs = $1,125,000

Aggregate contribution margin = $675,000 ($1,800,000 - $1,125,000)

Total units sold = 1,500,000

Total fixed costs = $520,000

Weighted average contribution margin = $0.45 ($675,000/1,500,000)

Break-even point in units = 1,155,556 units ($520,000/$0.45)

Thus, the calculation of a revised break-even point in units for the firm as a whole, using the weighted-average contribution margin approach is 1,155,556 units.

Learn more about break-even analysis at brainly.com/question/21137380

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4 0

2 years ago

a boy is three years younger than his sister. two years ago he was two-thirds of his sister's age. what are their present ages

padilas [110]

Answer:

The boy: 8 years old

The sister: 11 years old

Explanation:

We assume that the age at present of the boy is x (years old).

As he is younger than his sister 3 years, so that his sister's present age is great than x 3 years