Marine Outlets, Inc. had $ 14 million in sales last year, COGS of $ 8 million, depreciation expense of $ 2 million, $ 1 million in interest payments on long-term debt. If the firm's “tax rate” is 35%, how much is the Firm's Net Income?

Q: Bl Inc currently has earnings before interest and taxes of P3,000,000, a degree of combined leverage…

A: The degree of operating leverage can be used to estimate change in operating income with respect to…

Q: Stay Swift Corp. has an expected net operating profit after taxes, EBIT(1 T), of $14,700 million in…

A: Hi student Since there are multiple questions, we will answer only first question.  Free cash flows…

Q: TRY Co., a company with 25% tax rate, has a free cash flow of P150,000,000 for the next year and is…

A:

Q: Last year electric autos had sales of $190 million and assets at the start of the year of $330…

A: The computation of operating profit margin will be: Operating profit margin = Amount of return on…

Q: Last year Rattner Robotics had $5 million in operatingincome (EBIT). Its depreciation expense was $1…

A: “Hey, since your question has multiple sub-parts, we will solve first three sub-parts for you. If…

Q: National Co. had P24,000,000 in sales last year.  The company’s net income was P500,000, its total…

A: Financial ratios: Financial ratios are performance measurement methods used by a company to Measure…

Q: Thomson Trucking has $16 billion in assets, and its tax rate is 40%.Its basic earning power (BEP)…

A: The time's interest earned ratio is the ratio which shows the ability of the company to meet the…

Q: e Allen corporation had sales of $63 million, total assets of $44 million, and total liabilities of…

A: Operating return on assets = Operating profit / sales * 100

Q: A firm has total interest charges of $10,000 per year, sates of $1 million, a tax rate of 40…

A: Times interest earned ratio or interest coverage ratio shows ability of the company in paying it's…

Q: A company has annual after-tax operating cash flows of P2,000,000 per year which are expected to…

A: Annual after-tax operating cash flows (CF) = P 2,000,000 WACC = 8%

Q: Last year the Rondoelea Products Company had $142 million in annual sales and a net profit margin…

A: EBIT = [ (Sales x net profit margin) / (1 - tax rate) ] + (Amount of debt * Interest rate) EBIT =…

Q: A firm had gross profits from sales in the amountof $180,000, operating expenses of $90,000,and…

A: Net Income is defined as the aggregate amount of money that the business earned in the time period,…

Q: How much free cash flow did the firm generate during the current year? Round your answer to the…

A: Information Provided: Tax rate = 35% Previous operating capital = $2100 Current operating capital =…

Q: Vanderheiden Press Inc. and Herrenhouse PublishingCompany had the following balance sheets as of…

A: The Vanderheiden Press Inc. and Herrenhouse Publishing with the balance sheets as of December 31,…

Q: The S&H construction company expects to have total sales next year totaling $14,500,00 In addition,…

A: Given information, Total Sales =$14,500,000 Interest expenses =$318,000 Cost of goods sold =58% of…

Q: he Brenmar Sales Company had a gross profit margin​ (gross profits÷​sales) of 34 percent and sales…

A: GIVEN, gross profit margin =34% sales = $8.3 million  credit sale = 79% of sales cash sales = (100…

Q: Cecil, Inc. has sales of $682,100. Earnings before interest and taxes is equal to 20 percent of…

A: Profit Margin = Net Profit /Sales

Q: In the past year, TVG had revenues of $2.95 million, cost of goods sold of $2.45 million, and…

A: Times Interest Earned = Earnings Before Interest and Tax/ Interest Expense

Q: In 2016, the Allen Corporation had sales of $69 million, total assets of $48 million, and total…

A: S&H Construction Company Tax 0.35 Sales $14,500,000 Interest Expenses $306,000…

Q: Bed Bug Inn has annual sales of $137,000. Earnings before interest and taxes are equal to 5.8…

A: We know that the formula to calculate the profit margin is  Profit Margin = (Net Income/Sales) * 100…

Q: Lemon Auto Wholesalers had sales of $1,000,000 last year, and cost of goods sold represented 78…

A: The question is based on the concept of business transaction analysis.

Q: AEI Incorporated has $5 billion in assets, and its tax rate is 40%. Its basic earning power (BEP)…

A: The Times Interest earned ratio provides information as company is able to meet the interest cost…

Q: A company has annual after-tax operating cash flows of P2,000,000 per year which are expected to…

A: After-tax operating cash flows = P 2,000,000 After tax WACC = 8%

Q: NUBD had 5 degrees of operating leverage when its profit before taxes was P200,000. If the company's…

A: Given,  Degree of operating leverage = 5 Increase in sales = 15%

Q: Orono Corp.'s sales last year were $575,000, its operating costs were $362,500, and its interest…

A: As per formula Times interest earned (TIE) ratio = (Sales-Operating cost)/Interest expenses   Where…

Q: Sora Industries has 65 million outstanding shares, $127 million in debt, $59 million in cash, and…

A: Free cash flow firm value model Under free cash flow valuation, the value of the firm is the sum of…

Q: A firm has total interest charges of $10,000 per year, sales of $1 million, a tax rate of 40…

A: Solution: The times interest earned ration is a measure to determine company's ability to meet its…

Q: Stay Swift Corp. has an expected net operating profit after taxes, EBIT(1-T), of $14,700 million in…

A: Free cash flow is the cash generated by the company after providing for its operational activities…

Q: Russell Securities has $100 million in total assets and its corporate tax rate is 40 percent. The…

A: Total assets =$100 million  BASIC EARNING POWER =15% Tax=40% RETURN ON ASSETS =9

Q: Ogier Incorporated currently has $800 million in sales, which are projected to grow by 10% in Year 1…

A: Operating Profit: Operating profit refers to the profit generated by the firm from normal business…

Q: Roberts Corp's sales last year were $300,000, and its net income after taxes was $25,000. What was…

A: A ratio that helps to evaluate how much portions of the sales revenue of a company turns in the…

Q: The S&H construction company expects to have total sales next year totaling $15,300. In addition,…

A: Sales = 15,300 Tax Rate = 35% Interest Expense = 280,000 Cost of goods sold = 57% of Sales Operating…

Q: NoGrowth Incorporated had operating income before interest and taxes in 2002 of $220 million. The…

A: Value of share is depends upon profit earn by the company. Is can be simple calculated by…

Q: A firm has a profit margin of 15% on sales of $20,000,000. If the firm has debt of $7,500,000, total…

A: Return on assets (ROA) is the return that the company earns from the assets invested in the…

Q: Easy Launch Box recently reported $15,500 of sales, $8,250 of operating costs other than…

A: In this question, we have been asked to find the operating income for which we have been given…

Q: Finlay Corporation had sales this year of $3,270 million, and sales are expected to grow by 20…

A: Formula: Net income = Revenues - expenses Deduction of expenses from revenues derives the net…

Q: (Using common-size financial statements) The S&H Construction Company expects to have total sales…

A: Pro-Forma Income Statement   Sales $1,54,00,000 Cost of Goods Sold ($15400000 * 62%) $95,48,000…

Q: Cecil, Inc. has sales of $682,100. Earnings before interest and taxes is equal to 20 percent of…

A: Profit margin: This ratio indicates the percentage of sales which converted into profit. It is…

Q: NUBD had 5 degrees of operating leverage when its profit before taxes was P200,000. If the company’s…

A: Solution: Profit before taxes will increase by = Increase in sales *  degrees of operating leverage…

Conversion Cycle

Conversion cycle is also known as cash cycle or net operating cycle. Conversion cycle refers to how much time a company takes to turn its investments which is done from stock or any other financial resources into cash flows from sales.