1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
n200080 [17]
3 years ago
13

Smashed pumpkins co. Paid $200 in dividends and $624 in interest over the past year. The company increased retained earnings by

$522 and had accounts payable of $690. Sales for the year were $16,545 and depreciation was $752. The tax rate was 38 percent. What was the company's ebit?
Business
1 answer:
Maru [420]3 years ago
3 0

Dividends that were paid last year = $200

Retained earnings = $522

Net Income = Retained earnings + Dividends paid = 200+522 =722

Tax rate was 38%.

Earnings before tax (EBT) = Net income/ (1-tax rate) =722/(1-0.38) = 1,164.52

Interest expense= 624

Earnings before interest and tax (EBIT) = EBT + interest expense = 1,164.52 + 624 = 1,788.52

Earnings before interest and tax (EBIT) = 1,788.52


You might be interested in
When a restaurant prices pizza at $10 per slice they sell 100 slices in a night. If they sell pizza for $5 per slice, they sell
IRISSAK [1]

Based on the restaurant prices for pizza and the different quantities that they will offer the pizzas, the slope of demand curve is -0.025

<h3>What is the slope of the demand curve?</h3>

The slope can be found as:

= Change in price / Change in quantity

Solving gives:

= (5 - 10) / (300 - 100)

= -5 / 200

= -0.025

In conclusion, the slope of the demand curve is -0.025

Find out more on the demand curve at brainly.com/question/1139186

#SPJ1

8 0
1 year ago
If i cancel a booking that redeemed a free night do i lose the free night hotels.com
SVETLANKA909090 [29]

Yes you do cause you already used the coupon or promo code

5 0
2 years ago
A business operated at 100% of capacity during its first month, with the following results: Sales (90 units) $90,000 Production
umka21 [38]

Answer:

d.$18,900

Explanation:

Gross Profit is the net of Sales value and production cost in the period for the units sold. Under absorption costing all the direct and indirect costs incurred in the production of products are included in the total production cost. As the cost is available for 100 units produced we need to calculate the cost of 90 unit and deduct this cost from the sales value to determine the gross profit and then deduct the operating expenses to calculate the operating income.

Sales (90 units)                                                                  $90,000

Less: Production costs:

Direct materials ( $40,000 x 90/100 )              $36,000

Direct labor ( 20,000 x 90/100 )                       $18,000

Variable factory overhead ( 2,000 x 90/100 ) $1,800

Fixed factory overhead ( 7,000 x 90/100 )      <u>$6,300</u>

Total Production cost                                                       <u>($62,100)</u>

Gross Profit                                                                        $27,900

Less Operating expenses:

Variable operating expenses $8,000

Fixed operating expenses      $1,000

                                                                                          <u>($9,000)</u>

Operating Income                                                             <u>$18,900</u>

6 0
3 years ago
Miles uses the allowance method and wrote off the account of james. miles then received $559 as partial payment on the account o
Amanda [17]
<span>The journal entry to record the initial write-off includes is allowance for doubtful accounts. Allowance for doubtful accounts is a contra account to accounts receivable, and therefore has debit balance. It also needs to be diminished because you already used the bad debt when you make the allowance.</span>
6 0
3 years ago
Under which conditions, according to the Porter five-forces model, can a supplier group gain power?
Tasya [4]

Answer:

b. When there is a lack of importance of the buyer to the supplier group

Explanation:

According to Porter there are five forces that can cause rivalry in a production industry. These are supplier power, threat of new entrants, buyer power, threat of substitutes, and degree of rivalry.

Supplier power is when suppliers are able to benefit from the producers by increasing prices of inputs and gaining some industry profit. Since suppliers supply input and labour to the producer they have a greater control of there is lack of importance of the buyer to the supplier group.

This means that the supplier group has more control on price and quality it supplies to the buyer with buyer having little choice but to buy.

If however buyer is more important to the supplier it means they can control price and quality of inputs

8 0
2 years ago
Other questions:
  • Who owns the alcoholic beverages of a private club answer?
    8·2 answers
  • Provide an example that shows variable costing is divided among different activities, and that each activity has its own predete
    11·1 answer
  • Darwin Inc. sells a particular textbook for $29. Variable expenses are $21 per book. At the current volume of 44,000 books sold
    14·1 answer
  • Pursley, Inc. owns 70 percent of Harry Corp. The consolidated income statement for a year reports $50,000 Noncontrolling Interes
    8·1 answer
  • In a general ledger, credits always go on the
    12·2 answers
  • When managers delegate work, three transfers occur. the three transfers are responsibility, authority, and _____?
    10·1 answer
  • Bryant Investments is putting out a new product. The product will pay out $32,000 in the first year, and after that the payouts
    8·1 answer
  • What happens if you don't pay your insurance premium for your car?
    11·1 answer
  • What is the relationship between institutions, such as private property rights, and productive resources in terms of encouraging
    14·1 answer
  • The business judgment rule protects corporate officers and directors when: _________
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!