Answer:
25%
Explanation:
New contribution margin = Old contribution margin + Increase
= 135,000 + 30,000
= 165,000
Net Income = Contribution margin - Total fixed expense
= $165,000 - $90,000
= $75,000
ROI = Net income ÷ Average operating assets
= 75,000 ÷ 300,000
= 25%
Answer:
$778.05625
Explanation:
The computation of the amount of repayment is shown in the attachment below:
Given that
Proceeds for year 4 through 9 at $2Z, $3Z
The Principal of the loan amount = $10,000
Interest rate = 7% per year
Based on the given information, the value of Z or the amount of repayment is
= Principal of the loan amount ÷ Total annuity
= $10,000 ÷ 12.85254119
= $778.05625
Answer:
The answer is $99700
Explanation:
Net cash from operating activity= Net income + Depreciation - increase in net working capital.
Net cash from operating activity= $96,200 + $6,300 - $2,800= $99700
Complete question:
A company pays $70 million in cash to acquire 70% of the voting stock of another company. The fair value of the non controlling interest at the date of acquisition is $25 million, and the book value of the acquired company is $20 million. There are no revaluations of the acquired company’s identifiable net assets. Goodwill allocated to the non-controlling interest is:
REQUIRED: Assuming U.S. GAAP is used.
a. Calculate the total goodwill
b. How much goodwill is allocated to the controlling interest? What percent of goodwill is allocated to the controlling interest?
c. How much goodwill is allocated to the non-controlling interest? What percent of goodwill is allocated to the non-controlling interest?
Solution:
a. Total goodwill = $70 million + $25 million - $20 million = $75 million
b. Goodwill to the controlling interest = $70 million - (70% x $20 million)
= $56 million Goodwill percent to the controlling interest = 75%
c. Goodwill to the non-controlling interest = $75 million - $56 million
= $19 million Goodwill percent to the non-controlling interest = 25%
