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Lubov Fominskaja [6]
3 years ago
15

Financial information is presented below: Operating Expenses $ 90800 Sales Returns and Allowances 26600 Sales Discounts 11200 Sa

les Revenue 293000 Cost of Goods Sold 158600 Gross profit would be $96600. $107800. $123200. $134400.
Business
1 answer:
Ymorist [56]3 years ago
5 0

Answer:

The correct answer would be option A, $96600.

Explanation:

Gross profit is the amount of profit which a company earns after deducting all the costs which incurred in the making and sale of the products of the company.  

Gross profit can be found out by the following formula:

Gross Profit = Total Sales - Cost of Goods Sold

Total Sales will be Sales Revenue - Sales Return - Sales Discounts

So here total sales revenue will be = 293000 - 26600 - 11200

= 255200

Total sales Revenue: 255200

Cost of goods Sold = 158600

Gross Profit = 255200 - 158600

Gross Profit = $96600

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Those who provide guidelines for cloud computing recommend tools like monitoring and audit trails to tightly control all of the diverse requests and transactions that happen in the provision of cloud services, and the rapid elasticity that provides so much benefit to those who use the cloud.

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Challenge TasksThree weeks ago, Mike McGee left to join a larger company, and management decided to reorganize the IT department
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What are the managerial implications of a borderless organization?
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Rick Palmer received a $2,500 raise this year. This increased his salary as an associate TV producer from $45,000 to $47,500. Wh
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Answer: Rick had a 5.55%  nominal salary Increase.

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3 years ago
Avicorp has a $15.5 million debt issue outstanding, with a 6.3% coupon rate. The debt has semi-annual coupons, the next coupon i
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Answer:

a) Pre-tax cost of debt is 8.45%

b) After tax cost of debt is 5.07%

Explanation:

a) Given:

Debt issue outstanding = $15.5 million

Semi-annual coupon rate = 0.063 / 2 = 0.0315

Assumed par value (FV) = $1,000

Coupon payment (pmt) = 0.0315 × 1000 = $31.5

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Time period (nper) = 5 × 2 = 10 periods

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Semi-annual rate = 4.14%

Pmt and FV are negative as they are cash outflows.

YTM = 4.14 × 2 = 8.28%

Effective annual rate = (1+\frac{Rate}{compounding\ periods}) ^{2} -1

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b) Tax rate is 40%

After tax cost of debt = Pre tax cost of debt × (1 - 0.4)

                                    = 0.0845 × 0.6

                                    = 0.0507 or 5.07%

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