Answer:
$1,369,200
Explanation:
Calculation for EBIT
Using this formula
Value of Equity= EBIT / WACC
Let plug in the formula
$16,300,000 = EBIT / .084
EBIT = .084($16,300,000)
EBIT = $1,369,200
Therefore EBIT is $1,369,200
Answer:
By using the EOQ model, ray should order 22.8 units or 23 units each time
Explanation:
Solution
Recall that:
Ray annual estimated demand for this model is = 1,050 units
The cost of one unit carry is =$105
He estimated each order costs to place = $26
Now,
The EOQ model= (2*annual demand*ordering cost/holding cost per unit per year)^.5
Thus,
EOQ = (2*1050*26/105)^.5
EOQ = 22.8 units or 23 units
Answer: $65
Explanation: Under the FIFO method, that is, first in first out method inventory is recorded on the assumption that the goods that were purchased first will also be sold first and the remaining inventory will have the latest purchased units.
So, in the given question the two units sold would be costing $80 and $95
Hence,
Gross profit = $240 - ($80 + $95)
= $65
Answer:
type B 50 pounds
type A 94 pounds
Explanation:
First we construct the equation system:
Now we clear one and replace:
And we can solve for type B:
And now we can solve for quantity of A as well:
A = 144 - 50 = 94
<u>Finally we can check the answer if it is correct:</u>
50 x 5.9 + 94 X 4.75 =
295 + 446,5 = 741,5
