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faust18 [17]
2 years ago
10

Values for the first year of a project are projected as: Sales = $1.800, Depreciation = $300, Fixed costs = $450, Variable costs

= $620, Tax rate = 34 percent, What is the OCF?
Business
1 answer:
fiasKO [112]2 years ago
3 0

Answer:

the operating cash flow or OCF is $583.80

Explanation:

The computation of the operating cash flow or OCF is given below:

= (Sales - variable cost - fixed cost - depreciation) × (1 - tax rate) + depreciation expense

= ($1,800 - $620 - $450 - $300) × (1 - 0.34) + $300

= $430 × 0.66 + $300

= $283.80 + $300

= $583.80

Hence, the operating cash flow or OCF is $583.80

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Tom is the quality control manager for the company XYZ. XYZ recently received some complaints about its product D's quality and
Artyom0805 [142]

Answer:

Total number of items = 300 units per sample x 10 samples = 3000 units

Total number of defects = 4 + 6 + 0+1+3+5 + 10 + 3 + 2+ 3 = 37

a) Defect rate for sample 2 = 6/300 x 100= 2%

b) Pbar = Total number of defects / Total number of items = 37/3000 x 100 = 0.0123 x 100 = 1.23%

c) Sigma = Square root ( Pbar in fraction term x ( 1 – Pbar in fraction term)/ n)

= Square root ( 0.0123 x ( 1 – 0.0123)/300)

= Square root ( 0.0123 x 0.9877/300)

= 0.00636

= 0.636 % ( or 0.64% rounded to 2 decimal places)

d) Upper control limit ( in % terms)

= pbar + 3 x sigma

= 1.23 + 3 x 0.64

= 1.23 + 1.92

= 3.15%

e) Lower control limit ( in terms of percentage)

=higher of ( 0, Pbar – 3 x Sigma)

= higher of ( 0, 1.23 – 1.92 )

= Higher of ( 0, - 0.69)

= 0

f) Outliers will be those sample defectives which will be outside control limit range of 0 to 3.15%

Percentage defectives in 10 samples as follows :

Number of defects

Percentage defects in sample of 300

4

1.33

6

2

0

0

1

0.33

3

1

5

1.66

10

3.33

3

1

2

0.66

3

1

The outlier is the sample with 10 defects and there is only 1 outlier

Explanation:

8 0
2 years ago
Information for firm ABC: Inventory at the end of April, 2008: 200 units Expected demand during April, 2008: 50 units Production
zavuch27 [327]

Answer:

Inventory at the end of march will be 150

Explanation:

We have given inventory at the end of April = 200 units

Expected demand during April = 50 units

Production expected during April =  100 units

We have to find the inventory at the end of march

Inventory at the end of April is given by

Inventory at the end of April = production in april - demand in april + inventory of march

So 200 = 100 - 50 + inventory of march

So inventory of march = 150

5 0
3 years ago
In mixed economies, governments also tend to take into state ownership troubled firms whose continued operation is thought to be
Archy [21]

This is true. If a firm is considered to be of national interest (i.e. defense or national security), in a mixed economy, the government can take control of the failing business.

3 0
2 years ago
Which of the following will increase a company’s current liabilities? You may select more than one answer.
vichka [17]

Answer:

A company purchases inventory on credit.

Explanation:

Current liabilities are those that have to be settled within the fiscal year. The statement above does not specify if the credit has to be paid within the fiscal year, but most likely it has to, because inventories do not usually represent a long-term debt.

So under this sceneario, purchasing inventory on credit would represent an increase in the current liabilities of the firm.

8 0
3 years ago
Your company sells a variety of NFL logo t-shirts for various teams for $15. Your rental cost of the silk-screening equipment is
Zina [86]

Answer:

The company should print the 3,000 units of Tennessee  as they will yield a gain for 3,000 dollars.

Because it faces economies of scale it should sale for as much as it can from a given pattern

Explanation:

Profit: revenue - variable cost - fixed cost

Profit =   15*Q - 8*Q - 18,000

Profit =          7Q- 18,000

3,000 Tennessee shirts x $7 contribution per shirt - 18,000 setup cost

profit: 21,000 - 18,000 = 3,000

Profit maximization: Marginal revenue = marginal cost

Total Revenue: 15 x Q

dTR' /dQ = 15

dTR''/dQ = 0

cost function: 18,000 + 7Q

dC'/dQ = 7

dC''/dQ = 0

Sport Tee faces a economie of scale their cost do not increase over time. Sport Tee should sale as many shirt as it possible can

8 0
2 years ago
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