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IceJOKER [234]
3 years ago
14

A publishing company has estimated the following cost probability distribution for the next year. What is the expected cost to t

he publishing company
Business
1 answer:
Nitella [24]3 years ago
3 0

Answer: $595

Explanation:

First find the probability of a $2,000 loss.

= 1 - other probabilities

= 1 - 0.6 - 0.05 - 0.13

= 0.22

Expected cost to the publishing company is a weighted average of the costs:

= (0 * 0.60) + (500 * 0.05) + (1,000 * 0.13) + (2,000 * 0.22)

= $595

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The following information was taken from the financial statements of Tolbert Inc. for December 31 of the current fiscal year: Co
ale4655 [162]

Answer:

(a) the earnings per share = $3

(b) the price-earnings ratio = 8x

(c) the dividends per share = $0.25

(d) the dividend yield = 1.04%

Explanation:

Common Stock Outstanding = 5,250,000/25 = 210,000 shares

Preferred Stock Outstanding = 6,000,000/200 = 30,000 shares

Preferred Stock Dividend per share = $4

(a) Earnings Per Share

EPS = <u>Net Income - Preferred Dividend</u>

            Common Stock Outstanding

EPS = <u>750,000 - (30,000 * 4)</u>

                  210,000

EPS = <u>630,000</u>

           210,000

EPS = $3

(b) Price-Earnings Ratio    

Market Price = $24

EPS = $3

P/E ratio = <u>Market Price</u>

                      EPS

P/E ratio = 24/3

P/E ratio = 8x

(c) Dividends Per Share

DPS = <u>               Total Dividends          </u>

             Common Stock Outstanding

DPS = 52,500/210,000

DPS = $0.25

(d) Dividend Yield

DY = <u>Dividend Per Share</u>

                   Price

DY = 0.25/24

DY = 1.04%

6 0
3 years ago
Parker Industries is a small company with a big name! Parker Industries is actually a one-person company that imports strands of
Tamiku [17]

Answer:

Total fixed costs= $150

Explanation:

Giving the following information:

Parker's only overhead is a storage unit for the inventory that costs $125 a month and a $25 monthly fee for website hosting.

<u>A cost is categorized as fixed because it does not vary with production (in relevant ranges).</u>

In this case, the only two cost that is fixed is the storage and website hosting.

Total fixed costs= 125 + 25= $150

7 0
3 years ago
is an input required for a multinational capital budgeting analysis, given that it is conducted from the parent's viewpoint. a.
Leto [7]

Answer:

e. All of the above are inputs required for capital budgeting analysis.

Explanation:

All of the given parameters are inputs required for capital budgeting analysis. is an input required for a multinational capital budgeting analysis, given that it is conducted from the parent's viewpoint.

a. Salvage value

Salvage value is the estimated resale value of an asset at the end of its useful life. It is an applicable cashflow in investment appraisal

b. Price per unit sold

This is the parameter used to calculate the amount of revenue which is the first line of cashflows in an investment appraisal

c. Initial investment

This is the amount that is first spent on capital acquisition of machinery or construction, it is a cashflow in year 0, of investment appraisal

d. Consumer demand

This is the another parameter used to calculate the amount of revenue which is the first line of cashflows in an investment appraisal

3 0
3 years ago
Bossa Nova founder and CEO Alton Johnson was fascinated with the fruits of Brazil, a fascination that led him to develop juices
tamaranim1 [39]

Answer:

(B) idea generation

Explanation:

  • As nova founder and the CEO of the Alton Johnson was fascinated by the fruits of the brazil he got an idea to open a new fruit flavor in the American market and as the new fruit flavors of the Brazilian juices was technically his own its lead t the creating and development and the communication of the abstract and visual ideas. And thereby binding the concept to the reality.
8 0
2 years ago
Suppose we are a distributor that uses safety stock and a reorder point for inventory management. If we can find a more consiste
Ulleksa [173]

Answer:

The answer is False. By cutting the variance of the demand during lead time to 1/2 its original value while maintaining the same lead times, the new safety stock will also drop to 1/2 its original value.

Explanation:

Safety stock is a form of inventory management that provides an additional unit of an item held as a buffer i order to mitigate risk of running out of stock.

A reorder point provides a buffer of time to restock items when stock is running out. It helps to reduce operational costs and chaos that may arise  such as rush fees owed to suppliers. It makes the use of a warehouse space more efficient.

Suppose we are a distributor that uses safety stock and a reorder point for inventory management. If we can find a more consistent manufacturer that will maintain the same mean lead times while cutting the variance of the demand during lead time to 1/2 its original value, the new safety stock that we need to carry to achieve the same service level will also drop to 1/2 its original value.

6 0
3 years ago
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