<span>Answer:
At what unit sales level would WCC have the same EPS, assuming it undertakes the investment and finances it with debt or with stock? {Hint: V = variable cost per unit = $8,160,000/440,000, and EPS = [(PQ - VQ - F - I)(1 - T)]/N. Set EPSStock = EPSDebt and solve for Q.} Round your answer to the nearest whole.
units
At what unit sales level would EPS = 0 under the three production/financing setups - that is, under the old plan, the new plan with debt financing, and the new plan with stock financing? (Hint: Note that VOld = $10,200,000/440,000, and use the hints for Part b, setting the EPS equation equal to zero.) Round your answers to the nearest whole.
Old plan units
New plan with debt financing units
New plan with stock financing units
On the basis of the analysis in parts a through c, and given that operating leverage is lower under the new setup, which plan is the riskiest, which has the highest expected EPS, and which would you recommend? Assume here that there is a fairly high probability of sales falling as low as 250,000 units, and determine EPSDebt and EPSStock at that sales level to help assess the riskiness of the two financing plans. Round your answers to two decimal places.
EPSDebt = $
EPSStock = $</span>
Answer: Supplier Dependence
Explanation:
Supplier Dependence is the level of trust a buyer places on their supplier, and the difficulty of the buyer to change their supplier. Supplier Dependence is built if the supplier is reliable and trustworthy in their dealings with consumers.
Answer:
46850 is the correct answer
Explanation:
Employee salaries are limited to $12.850 per employee.
Total liabilities with priority = Income Taxes +Salaries Payable+Administrative expenses for liquidation
=10.000+12.850+4.000+20.000= 46.850
B.)CareerOneStop
CareerOneStop is an online database of job information, career path guides, training, tools, and other resources.
