Answer:
A lot of information is missing as well as the requirements, so I looked for similar questions.
The requirements are:
<em>a. What is the break-even point in sales dollars for RBC? </em>
<em>b. What is the margin of safety for RBC? </em>
<em>c. What sales dollars would be required to achieve an operating profit of $250.000? $490.000?</em>
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a) break even point = total fixed costs / contribution margin
break even point = $1,124,430 / 73% = $1,540,315
b) margin of safety = current sales - break even point = $1,953,000 - $1,540,315 = $412,685
c) operating profit = $250,000 ⇒ ($1,125,430 + $250,000) / 73% = $1,884,150.69
operating profit = $490,000 ⇒ ($1,125,430 + $490,000) / 73% = $2,212,917.81
Answer:
internal rate of return is 20.463%
Explanation:
given data
Year Cash Flow
1 $48,000
2 $46,000
3 $41,000
equipment cost = $95,000
to find out
Determine the internal rate of return
solution
we consider here internal rate of return is x
so we can say present value of inflows = present value of outflows
equate here
$95000 =
solve it we get
x = 20.463 %
so internal rate of return is 20.463%