Answer:
Net cash flow= $66,000
Explanation:
Giving the following information:
An investment project is expected to generate earnings before taxes (EBT) of $60,000 per year. Annual depreciation from the project is $30,000 and the firm’s tax rate is 40 percent.
Net cash flow= EBT - Tax + Depreciation
Net cash flow= 60,000 - (60,000*0.4) + 30,000= $66,000
<span>Three good indicators of just how well a company's present strategy is working are:
</span>1.Whether the company is acquiring new customers at an attractive rate as well as <span>retaining existing customers
</span><span>2.Whether the company is achieving its financial and strategic objectives and whether it is an above-average industry performer.
</span>3.Whether the firm’s image and reputation with its customers are growing stronger orweake
Answer:
Contribution Margin $ 5775
Net Loss ( $ 5,200 )
Explanation:
Ticket sales $12,600
Less
Variable Costs
Cost of dinner
Variable Costs ( 15,300- 9000) $ 6,300
Invitations and paperwork (variable costs) <u> $ 525</u>
Less Fixed Expenses
Cost of dinner (fixed costs) $ 9000
Invitations and paperwork (fixed costs) <u>$ 1975</u>
Net Loss ( $ 5,200 )
Contribution Margin is obtained by deducting variable costs from sales and then the profit or loss is obtained by deducting fixed costs from the contribution margin.
Answer:
The Kreidler Kids company has a producer surplus of $500.
Explanation:
Producer surplus can be described or calculated as the amount a producer is willing to supply or sell goods and the actual amount the supplier received.
For this question, the producer surplus can therefore be calculated as follows:
The amount Kreidler Kids company can produce swing sets = $1,000
The amount paid by Kendra for the the swing set = $1,500
Producer surplus = The amount paid by Kendra for the the swing set - The amount Kreidler Kids company can produce swing sets = $1,500 - $1,000 = $500
Therfore, the Kreidler Kids company has a producer surplus of $500.
