Answer:
B
Explanation:
SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. SWOT analysis (or SWOT matrix) is a strategic planning technique used to help a person or organization identify strengths, weaknesses, opportunities, and threats related to business competition or project planning.
Answer:
(a) Income Statement
Belyk Paving Co.
Income statement for the year xxxx
Sales $2,384,000
Cost of goods sold $1,441,000
Gross Profit $943,000
Administrative and selling expenses $436,600
Depreciation expense $491,600
Operating Income 14,800
Interest expense $216,600
Income before Tax ($201,8000)
Tax rate 35% <u> $0 </u>
Net Loss <u>($201,800)</u>
(b) operating Cash flow
Net Loss ($201,800)
Add: Non cash Expenses (Depreciation) <u> $491,600</u>
Cash flow from operating activities <u> $289,800 </u>
Opportunity costs. If this is a grade school question.
Answer:
6.85%
Explanation:
Mean = 575,234
Standard deviation = 10,245
Project will be successful when PV > 560,000
For not getting success, PV < 560,000
P (X < 560,000) = <em>P </em>(Z < (560,000-575,234)/10,245)
P (X < 560,000) = <em>P </em>(Z < -1.48697)
P (X < 560,000) = 0.0685
P (X < 560,000) = 6.85%
Therefore, the chance that the project will NOT succeed is 6.85%
Answer:
$ 1.75 million
Explanation:
EBITDA stands for Earnings Before Interest, Tax, Depreciation and Amortization. Net Income is Earnings after Interest, Tax, Depreciation and Amortization.
So to find charge for depreciation and amortization we need to reconcile the EBITDA to the Net Income and find the missing figures,
<u>Reconciliation of EBITDA to the Net Income</u>
EBITDA $7.5 million
Less Net income ($2.1 million)
Interest, Tax, Depreciation and Amortization $5.4 million
Less Interest expense ($2.0 million)
Less Corporate tax ($7.5 million - $2.0 million) × 30% ($1.65 million)
Charge for depreciation and amortization $ 1.75 million