Answer:
EBIT 138,000
taxes 55,200
net income 82,800
OCF 182,600
depreciation tax-shield 39,920
Explanation:
Sales 660,000
Cost (422,200)
Depreciation <u> (99,800) </u>
Earnings
before interest 138,000
and taxes
Taxes 138,000 x 40% = (55,200)
Net Income 82,800
Operating Cash flow
net income + deprection = 82,800 + 99,800 = 182.600
depreciation tax-shield 99,800 x 40% = 39,920
as the depreication is an accounting method to extend the impact of an already incurred cost (acquisition of amchinery and other long-term asset ) It do not involve cahs outflow thus, makes increase the operating cashflow and makes the tax expense to decrease as well.
C. $18,644 is the correst answer. Hope this helped
Answer:
Project sponsor
Explanation:
In simple words, project sponsor refers to the individual who gets to enjoy the highest authority in a project and is responsible for overall success of that project.
Generally, top managers or executives of an organisation are employed in this position. The project sponsor has to keep a continuing eye on the project and is liable to ensure that the project in the en delivers all the predetermined benefits and profits.
Generally the compensation of a project sponsor is directly tied to the success of the project.
Answer:
Receipt of voting stock by all shareholders of the original corporations.
Explanation:
A consolidation is when two or more companies come together to form a new legal entity.
For example, Company A + Company B = Company C
Company A and Company B ceases to exist.
For consolidation to take place, the following has to occur :
1. Approval by the board of directors of each corporation.
2. Provision for an appraisal buyout of dissenting shareholders.
3. An affirmative vote by the holders of a majority of each corporation’s voting shares.
Dissenting shareholders do not receive voting stocks.
I hope my answer helps you.
Answer:
50%
Explanation:
The computation of markup percentage is shown below:-
Unit Product Cost as per absorption Costing = Variable Manufacturing cost + Fixed manufacturing cost
= $40 + $30
= $70
Mark up needed to achieve Desired ROI per unit = Variable selling and administrative expenses + Fixed selling and administrative expenses + Desired ROI per unit
= $8 + $12 + $15
= $35
Mark up percentage = Mark up needed ÷ Unit Product Cost as per absorption Costing
= $35 ÷ $70
= 50%
So, for computing the markup percentage we simply applied the above formula.