Break-even analysis for a service company T-Mobile US, Inc. (TMUS) is one of the largest digital wireless service providers in the United States. In a recent year, it had 102.1 million subscribers (accounts) that generated service revenue of $50,395 million. Costs and expenses for the year were as follows (in millions): Cost of revenue $11,878 Selling, general, and administrative expenses 18,926 Depreciation and amortization 14,151 Assume that 30% of the cost of revenue and 70% of the selling, general, and administrative expenses are fixed to the number of direct subscribers (accounts). In part (a) and (b), round all interim calculations and final answers to one decimal place. a. What is T-Mobile's break-even number of accounts, using the data and assumptions given? million accounts b. How much revenue per account would be sufficient for T-Mobile to break even if the number of accounts remained constant? million per account
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- Break-Even Analysis for a Service Company Sprint Corporation is one of the largest digital wireless service providers in the United States. In a recent year, it had approximately 32.6 million direct subscribers (accounts) that generated revenue of $33,600 million. Costs and expenses for the year were as follows (in millions): Cost of revenue $13,389 Selling, general, and administrative expenses 7,774 Depreciation 8,783 Assume that 70% of the cost of revenue and 30% of the selling, general, and administrative expenses are variable to the number of direct subscribers (accounts). In part (a) and (b), round all interim calculations and final answers to one decimal place. a. What is Sprint’s break-even number of accounts, using the data and assumptions given?fill in the blank 1 million accounts b. How much revenue per account would be sufficient for Sprint to break even if the number of accounts remained constant?$fill in the blank 2 million per accountBreak-Even Analysis for a Service Company Sprint Corporation is one of the largest digital wireless service providers in the United States. In a recent year, it had approximately 32.6 million direct subscribers (accounts) that generated revenue of $33,600 million. Costs and expenses for the year were as follows (in millions): Cost of revenue $13,389 Selling, general, and administrative expenses 7,774 Depreciation 8,783 Assume that 70% of the cost of revenue and 30% of the selling, general, and administrative expenses are variable to the number of direct subscribers (accounts). In part (a) and (b), round all interim calculations and final answers to one decimal place. a. What is Sprint’s break-even number of accounts, using the data and assumptions given?fill in the blank 1 million accounts b. How much revenue per account would be sufficient for Sprint to break even if the number of accounts remained constant?$fill in the blank 2 million per accounBreak-even analysis for a service company Sprint Nextel is one of the largest digital wireless service providers in the United States. In a recent year, it had approximately 32.5 million direct subscribers (accounts) that generated revenue of $35,345 million. Costs and expenses for the year were as follows (in millions): Cost of revenue $20,841 Selling, general, and administrative expenses 9,765 Depreciation 2,239 Assume that 70% of the cost of revenue and 30% of the selling, general, and administrative expenses are variable to the number of direct subscribers (accounts). In part (a) and (b), round all interim calculations and final answers to one decimal place. a. What is Sprint Nextel's break-even number of accounts, using the data and assumptions given? b. How much revenue per account would be sufficient for Sprint Nextel to break even if the number of accounts remained constant?
- Break-even analysis for a service company Sprint Nextel is one of the largest digital wireless service providers in the United States. In a recent year, it had approximately 32.5 million direct subscribers (accounts) that generated revenue of $35,345 million. Costs and expenses for the year were as follows (in millions): Cost of revenue $20,841 Selling, general, and administrative expenses 9,765 Depreciation 2,239 Assume that 70% of the cost of revenue and 30% of the selling, general, and administrative expenses are variable to the number of direct subscribers (accounts). In part (a) and (b), round all interim calculations and final answers to one decimal place. a. What is Sprint Nextel's break-even number of accounts, using the data and assumptions given?fill in the blank 1 million accounts b. How much revenue per account would be sufficient for Sprint Nextel to break even if the number of accounts remained constant?$fill in the blank 2 million per accountBreak-even analysis for a service company Sprint Nextel is one of the largest digital wireless service providers in the United States. In a recent year, it had approximately 32.5 million direct subscribers (accounts) that generated revenue of $35,345 million. Costs and expenses for the year were as follows (in millions): Cost of revenue $20,841 Selling, general, and administrative expenses 9,765 Depreciation 2,239 Assume that 70% of the cost of revenue and 30% of the selling, general, and administrative expenses are variable to the number of direct subscribers (accounts). In part (a) and (b), round all interim calculations and final answers to one decimal place. b. How much revenue per account would be sufficient for Sprint Nextel to break even if the number of accounts remained constant?Break-even analysis for a service companySprint Nextel is one of the largest digital wireless service providers in the United States. In a recent year, it had approximately 32.5 million direct subscribers (accounts) that generated revenue of $35,345 million. Costs and expenses for the year were as follows (in millions): Cost of revenue $20,841 $20,841 Selling, general, and administrative expenses 9,765 Deprecation 2239 Assume that 70% of the cost of revenue and 30% of the selling, general, and administrative expenses are variable to the number of direct subscribers (accounts).a. What is sprint Nextel's break-even number of accounts, using the data and assumptions given? Round units (accounts) and per-account amounts to one decimal place. b. How much revenue per account would be sufficient for Sprint Nextel to break-even if the number of accounts remained constant?
- Break-even analysis for a service company Rotelco is one of the largest digital wireless service providers in the United States. In a recent year, it had approximately 100 direct subscribers (accounts) that generated revenue of $61,300. Costs and expenses for the year were as follows: Cost of revenue $28,800 Selling, general, and administrative expenses 19,600 Depreciation 6,700 Assume that 75% of the cost of revenue and 30% of the selling, general, and administrative expenses are variable to the number of direct subscribers (accounts). In part (a) and (b), round all interim calculations and final answers to one decimal place. a. What is Rotelco's break-even number of accounts, using the data and assumptions above? Round to the nearest whole number.fill in the blank 1 accounts b. How much revenue per account would be sufficient for Rotelco to break even if the number of accounts remained constant? Round to the nearest dollar.$fill in the blank 2 per accountBreak-Even Analysis for a Service Company Rotelco is a digital wireless service provider in the United States. In a recent year, it had approximately 100 direct subscribers (accounts) that generated revenue of $40,100. Costs and expenses for the year were as follows: Cost of revenue $18,400 Selling, general, and administrative expenses 11,600 Depreciation 4,400 Assume that 65% of the cost of revenue and 40% of the selling, general, and administrative expenses are variable to the number of direct subscribers (accounts). In part (a) and (b), round all interim calculations to two decimal place and final answers to the nearest whole number. a. What is Rotelco's break-even number of accounts, using the data and assumptions above? fill in the blank accounts b. How much revenue per account would be sufficient for Rotelco to break even if the number of accounts remained constant? $ fill in the blank per accountSprint Corporation (S) is one of the largest digital wireless service providers in the United States.In a recent year, it had approximately 60 million direct subscribers (accounts) that generated revenueof $33,347 million. Costs and expenses for the year were as follows (in millions):Cost of revenue $14,958Selling, general, and administrative expenses 7,994Depreciation and amortization 8,150 Assume that 30% of the cost of revenue and 70% of the selling, general, and administrative expensesare fixed to the number of direct subscribers (accounts).a. What is Sprint’s break-even number of accounts, using the data and assumptions given? Roundto one decimal place.b. How much revenue per account would be sufficient for Sprint to break even if the number ofaccounts remained constant? Round to one decimal place.
- Nextel Communications, Inc. is one of the largest digital wireless service providers in the United States. In a recent year, it had 8,666,500 accounts that generated revenues of $7,689,000,000. Costs and expenses were as follows: Cost of revenue$ 2,869,000,000 Selling, general and administrative expenses 3,020,000,000 Depreciation 1,746,000,000 Assume that 65% of the cost of revenue and 55% of the selling, general and administrative expenses are variable to the number of accounts.Required: a) What is Nextel’s break-even number of accounts using the data and assumptions above? Round any per-unit computations to the nearest dollar. b) How much revenue per account would be sufficient for Nextel to break even if the number of accounts remained constant?(6) Sprint Corporation is one of the largest digital wireless service providers in the United States. In a recent year, it had approximately 32.6 million direct subscribers (accounts) that generated revenue of $33,600 million. Costs and expenses for the year were as follows (in millions): Cost of revenue $13,389 Selling, general, and administrative expenses 7,774 Depreciation 8,783 Assume that 70% of the cost of revenue and 30% of the selling, general, and administrative expenses are variable to the number of direct subscribers (accounts). In part (a) and (b), round all interim calculations and final answers to one decimal place. a. What is Sprint’s break-even number of accounts, using the data and assumptions given?fill in the blank 1 million accounts b. How much revenue per account would be sufficient for Sprint to break even if the number of accounts remained constant?$fill in the blank 2 million per accountKyzera manufactures, markets, and sells cellular telephones. The average total assets for Kyzera is $250,000. In its most recent year, Kyzera reported net income of $65,000 on revenues of $475,000. Does return on assets seem satisfactory for Kyzera given that its competitors average a 12% return onassets?