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Lyrx [107]
1 year ago
6

The Blue Lagoon has a return on equity of 23.62 percent, an equity multiplier of 1.48, and a capital intensity ratio of 1.06. Wh

at is the profit margin
Business
1 answer:
SIZIF [17.4K]1 year ago
8 0

The profit margin is 16.92 percent.

Step 1

return on equity = 23.62 percent

capital intensity ratio = 1.06

equity multiplier = 1.48

Step 2

Profit margin = 23.62/[(1 / 1.06) ×1.48]

⇒ 0.1692 × 100

⇒16.92 percent

The profit margin is 16.92 percent.

<h3>How are profit margins determined?</h3>

The formula for profit margin

  • Get your COGS (cost of goods sold) information.
  • Find out your income (the price at which you sell these items, for instance $50).
  • Subtract the cost from the income to arrive at the gross profit.
  • Gross profit divided by revenue: $20 / $50 Equals 0.4 .
  • Put it in percentage form: 0.4 x 100= 40%

learn more about profit margin here <u>brainly.com/question/10218300</u>

#SPJ4

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Answer: $40,710

Explanation:

John's annual compensation includes his actual annual salary as well as the various payments that Heinlein Hillclimbers makes on his behalf.

His total annual compensation is:

= Annual salary + Employer's 401 contribution + Health insurance + Life insurance + AD&D + Profit sharing bonus + Tuition reimbursement + employer only taxes and insurance

= 26,500 + (150 /2 * 12 months) + (150 * 12 months) + (30 * 12 months ) + (50 * 12 months ) + (2% * 26,500) + 5,250 + (18% * 26,500)

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4 0
2 years ago
Calvert Corporation expects an EBIT of $23,300 every year forever. The company currently has no debt, and its cost of equity is
Gnesinka [82]

Answer:

Missing <em>"b-1. What will the value of the firm be if the company takes on debt equal to 50 percent of its unlevered value?  b-2. What will the value of the firm be if the company takes on debt equal to 100 percent of its unlevered value?"</em>

a. Current value of the company = EBIT*(1-t) / Ke

Current value of the company = $23,300*(1-0.25) / 0.143

Current value of the company = $23,300*0.75 / 0.143

Current value of the company = $17,475 / 0.143

Current value of the company = $122202.7972027972

Current value of the company = $122,202.80

So, the current value of the company is $122,202.80.

bi. Value of the company = $122,202.80 + (0.25*$122,202.80*0.5)

Value of the company = $122,202.80 + $15,275.35

Value of the company = $137,478.15

bii Value of the company = $122,202.80 + (0.25*$122,202.80*1)

Value of the company = $122,202.80 + $30,550.7

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7 0
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 The demand side market failure is one of the type of market effect that basically occur due to the production of the negative response and the effect by the various types of marketing techniques like surveys and the focus groups.

The market failure demand side is one of the type of economical situation in which the customers are willing to pay for the specific products and the services in the market which is not fully capture.

According to the given question, the demand- side market failure is one of the example that best illustrating the given situation. Therefore, Option (2) is correct answer.      

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