101
x 9
-------
909
Thats how ill explain how to solve that problem.
Answer:
Break-even point= 96,000 units
Explanation:
Giving the following information:
Zeus, Inc. produces a product that has a variable cost of $9.50 per unit. The company's fixed costs are $40,000. The product sells for $12.00 a unit and the company desires to earn a $20,000 profit.
To calculate the sales in units, we need to use the break-even formula:
Break-even point= (fixed costs + profit) / contribution margin
Break-even point= (40,000 + 200,000) / (12 - 9.5)= 96,000 units
Answer:
Relatively more than
Explanation:
As we know,
The levered firm is that firm in which debt is involved whereas unlevered firm is that firm in which there is no debt involved.
As if the EBIT drops, the return on equity drop is relatively more than the ROE of unlevered firms due to involvement and not involvement of debt. As it generated high risk and return which is gradual increases during a given period of time
Answer:
To explain the answer is given as follows,
Explanation:
Answer:
Net New Borrowing is 10,000
Explanation:
Cash available for capital spending = Operating cash flow - Interest Paid - Dividends Paid - Change in Net Working Capital + New Equity Issued
= 117,000 - 60,000 - 53,000 - 21,000 + 29,000
= 12,000
Net new borrowing = Net Capital Spending - Cash available for capital spending
= 22,000 - 12,000 = 10,000