Income is $100,000; revenues are $800,000; investment is $400,000; and the minimum rate of return is 10%. The return on sales is _____. 0.10 0.25 0.50 2.00 none of the above

Q: A firm sells a single product for ₱80 per unit. The firm’s fixed expenses total ₱320,000 per year.…

A: Here, Fixed Cost is ₱320,000 Selling Price per unit is ₱80 Variable Cost per unit is ₱23  Commission…

Q: Variable expenses are 60% of sales. At a R400 000 sales level, the degree of operating leverage is…

A: The term sales revenue represents gross earnings produced by a business entity before adjusting for…

Q: The CEO would like to see higher sales and a forecasted net income of $2,500,000. Assume that…

A: Particulars Current($) Forecasted ($) Sales 8,000,000 12,681,481 Less: Operating costs excluding…

Q: The company has P3,000,000 sales.  The variable costs are equal to fifty cents for every peso of…

A: The percentage increase in net income can be calculated with the help of degree of financial…

Q: A proposed new investment has projected sales of $720,000. Variable costs are 40 percent of sales,…

A: The income statement is an essential part of the financial statements of the company. It is prepared…

Q: A firm has the capacity to produce 1,000,000 units of a product per year. At present, it is able to…

A: Break-even is the point wherein the company is in a situation of no profit no loss.

Q: XYZ Company's single product has a selling price of $15 per unit. The fixed expenses were $120,000.…

A: Profit increases with the increase in sales revenue. Here, sales are increased by 10%, so profits…

Q: company is trying to ascertain the selling price per unit for their product. They know the OCF is…

A: In this we have to operating cash flow and from that we can get required value of sales per unit.

Q: Sales revenue for XYZ Company is $1,000,000. The cost of goods sold is $450,000 and the operating…

A: Thus, the net operating income is $300,000.

Q: t is observed that the fixed cost of the new product is $35,000 and the variable cost per unit is…

A: 1) Revenue Function = 5,000D - 100D^2 2) Cost function = $35,000 + D*$500 =35,000+ 500D 3) Profit…

Q: ses its selling prices by 1

A: Given information : Variable expenses = 55% Fixed expenses = 15% Anticipated increase in selling…

Q: ncome is $100,000; revenues are $800,000; investment is $400,000; and the minimum rate of return is…

A: Return on investment is one of a financial ratio which helps stakeholders to determine the return or…

Q: Marcus Corporation currently sells 150,000 units of products a year at a price of RM 4.00 per unit.…

A: The degree of operational leverage (DOL) is a ratio that determines how a company's operating income…

Q: The firm provided the following data for the year: Selling price per unit- ₱40; Variable production…

A: let us put the sales commission in variable cost contribution margin = 40 - 15 - 5 = 20 total fixed…

Q: Using the following data, estimate the new Return on Investment if there is a 10% increase in sales…

A: The formula for Return on Investment taking Average operating assets as the base: Return on…

Q: If sales increase from P80.000 per year to P140,000 per year, and if the operating leverage factor…

A: Calculation of Expected Percentage increase in Net Operating Income if sales increase by 75%…

Q: 1. Tower Interiors has made the forecast of sales shown in the following table. Also given is the…

A: Since you have posted a question with multiple sub-parts, we will solve the first three subparts for…

Q: Be sure your inputs are set to the following: Plant Cost $4,000,000 year 0 Sales (units) 80,000 year…

A: Firstly, we will calculate the cash flow after tax thereafter we will make the cash flow equal to…

Q: Product A has a selling price of P50 per unit and variable expenses of P30 per unit. If the company…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: 2).  annually. Company’s annual sales are OMR (4) million, its tax rate is 30%, and its rate on…

A: Degree of operating leverage computes the times by which contribution margin exceeds earning before…

Q: what is the operating leverage of this business ?

A: Operating leverage if a financial metric that helps in determining the ability of the company to…

Q: If sales increase from R80 000 per year to R120 000 per year, and if the operating leverage is 5,…

A: Net Income is defined as the total amount of the funds, which is earned by the business in the…

Q: Income is $100,000; revenues are $800,000; investment is $400,000; and the minimum rate of return is…

A: Residual income = Net Operating Income - (Investment x Minimum required rate of return)

Q: Number of products produced and sold 200,000 units. The selling p of each unit is 17,000 Rials and…

A: Break-Even Point is situation where revenues and expenses becomes equal and entity doesn’t earn any…

Q: Berries Salad has current sales of RM10,000 and a profit margin of 5%. The firm estimates that sales…

A: Current sales = RM 10,000 Profit margin = 5% Growth rate = 4%

Q: Ratchet Ltd expects to sell 30,000 units this year. The selling price is set at $25 per unit. The…

A: Cost volume profit analysis is useful to find out the different sales volume on the basis of…

Q: Your business plan for your proposed start-up firm envisions first-year revenues of $120,000, fixed…

A: Given information in this question, Revenue                      =          $120,000  Variable cost…

Q: help question 8

A: Residual Income = Operating income - Average operating assets  x minimum required rate of return…

Q: What will be the new contribution if the sales increase by 20%?

A: Contribution: It is the part of the revenue not spent by variable cost.  It is computed by reducing…

Q: Zain glassware has made the forecast of sales shown in the following table. Also given is the…

A:

Q: Management anticipates fixed costs of $74,100 and variable costs equal to 36% of sales. What will…

A: Pretax income refers to the income before taxes. It is computed by subtracting all the operating…

Q: A company can generate a maximum sales of 825,000 a year. The variable cost ratio to sales is 55%…

A: Variable cost ratio = 55% So. Contribution margin ratio = 45%   Desired sales = (128,430 + 168,570)…

Q: A project currently generates sales of $17 million, variable costs equal 40% of sales, and fixed…

A: Introduction: Cash flows are the movement of real or virtual money within the organization due to…

Q: Income is $100,000; revenues are $800,000; investment is $400,000; and the minimum rate of return is…

A: Investment Turnover Ratio: The investment turnover ratio compares the revenues produced by a…

Q: If operating income is P60,000, average operating assets are P240,000, and the minimum required rate…

A:

Q: If Division C has a 10% return on sales, income of $10,000, and an investment turnover of 4 times,…

A: Sales = $10,000 / 10% = $100,000 Investment = $100,000 / 4 = $25,000

Q: The selling of a product has been set at $300 per unit , and at that price the company expects to…

A: The calculation of target profit has been made as follows: Target profit=Total investment×Required…

Q: A project currently generates sales of $14 million, variable costs equal 50% of sales, and fixed…

A: Calculation of effect on cash flows: Answer: a) Cash flows increase by $420,000 b) Cash flows…

Q: If the selling price per unit is $80, the variable expense per unit is $40, and total fixed expenses…

A: Formula: Break even sales dollars = Break even units x Sales price per unit

Q: A proposed new investment has projected sales of $550,000. Variable costs are 40 percent of sales,…

A: Sales = $ 550,000 Variable cost ratio = 40% Variable cost = 550,000*0.40 = 220,000

Q: Your Company's fixed expenses total $150,000, its variable expense ratio is 60% and its variable…

A: The total costs incurred during a period can be further classified into fixed costs and variable…

Q: A project currently generates sales of $18 million, variable costs equal 60% of sales, and fixed…

A: The net amount of cash and cash equivalents transported into and out of a corporation is referred to…

Q: Bogart Company is considering two alternatives. Alternative A will have revenues of $160,000 and…

A: Incremental revenue, cost, and net income are the difference between alternative 1 and alternative…

Q: A project currently generates sales of $11.6 million, variable costs equal to 50% of sales, and…

A: The formula concept used for computation is:

Q: A business has the capacity to manufacture 720 electronic components per annum that it sells for…

A: Cost sheet is the pro forma of estimating number of units of sales, sales value and other costs…

Q: 2. An A firm has sales of $10 million, variable costs of $4 million, fixed expenses of $1.5 million,…

A: Leverages means leakage of funds. Firm have to pay fixed amount in every period due to which cash…

Q: The selling price of a product has been set at $300 per unit, and at that price the company expects…

A: Target costing is one of costing technique in which target costs are being determined on the basis…