What is the present breakeven point in revenues?

Q: Distinguish the nominal rate of return from the real rate of return.

A:

Q: What is the profitability index? When is it used?

A: Capital investment analysis: Capital investment analysis is the process by which management plans,…

Q: How is the revaluation surplus handled under the revaluation model?

A: The question is related to Revaluation model under IAS16 Property, Plant and Equipment. Under this…

Q: How much is the gross profit variation due to

A: Heythere since you have posted m

Q: From the data below, how much is the total passive income?

A: Passive income is generally an additional income apart from employment and business activity. In…

Q: Based on the cost and revenue structure on the income statement, what was NUBD's break- even point…

A: The question is based on the concept of Financial Management.

Q: What are the Profit margins?

A: Answer: Profit margin represents a product, company or sector profitability. It nothing but the…

Q: a) Find aggregate planned expenditure for each level of real GDP. b) What is the equilibrium level…

A:

Q: How much is the average daily disbursement float? How much is the average daily collection float?…

A: The net float is calculated as difference in average daily disbursement float and average daily…

Q: What is the marginal rate of return? How is it calculated?

A: Answer: Marginal rate of return can be defined as the return obtained or received by means of…

Q: What is the current market view on USD/JPY? (Will it appreciate and which depreciate? and why?)

A: USD/JPY will be reflecting the exchange rate of Japanese currency with respect to 1 American dollar.…

Q: what are the incremental earnings (net income) associated with the new machine?

A: Earnings: It is the income for the company after taking into account expenses and depreciation and…

Q: Can we compute the IRR for each option without knowing the revenue figure? Why?

A: The internal rate of return (IRR) is a capital budgeting metric used to gauge the benefit of…

Q: What is the financing surplus or deficit? How is it calculated?

A: Companies generally prepare cash flow statements to check the sources and utilization of cash. As…

Q: What is the lnventory·turnover ratio?

A: Inventory turnover ratio: Inventory turnover ratio indicates how many times a corporation has sold…

Q: If a firm's current revenues are less than its current variable costs. Explain.

A: Revenues are the amount received from sale of goods and services in the business. Variable costs are…

Q: What will be the Net interest income variation for the cumulative GAP, if interest rates have a 1%…

A: The potential loss from unexpected changes in interest rates can significantly alter a bank’s…

Q: How might (a) seasonal factors and (b) different growth rates distort a comparative ratio analysis?…

A: Answer: For computing purposes, the ratio analysis uses different financial figures; the financial…

Q: Find an expression for the marginal revenue function, s

A: Marginal revenue is the additional revenue earned from selling one more unit of output.  It is…

Q: What will be Effects of Changes in “Going-In” Cap Rates in Response toSupply and Demand?

A: Going-in-cap rate: Going-in-cap rate is the cap rate originated on the ratio of the initial year of…

Q: What problem might arise when comparing firms’ fixed assetsturnover ratios?

A: Fixed assets turnover ratio is a ratio that is calculated by dividing the company's net sales by net…

Q: What does it mean when residual income is zero?

A: Meaning of Residual Income Residual income is the income left after paying all the expenses and…

Q: What is payout period and how is it calculated?

A: Companies employ various methods in the process of selection of the most financially appropriate…

Q: What does the financial breakeven point shows?

A: A breakeven point is a situation of no loss no profit. The breakeven point is generally calculated…

Q: What would be the expected change in profit?

A: "Contribution Margin: The Contribution Margin is also can be treated on a gross or per unit basis.…

Q: What are the different terms used to refer to the rate of return?

A: Rate of return is an expected profit on an investment by a investor. It is a rate at which investor…

Q: What does it mean when ROI has decreased even though net income hasincreased?

A: Return on investment (ROI): This financial ratio evaluates how efficiently the assets are used in…

Q: What is the current market view on GBP/USD? (Will it appreciate and which depreciate? and why?)

A: The exchange rate are dependent on the the market factors and other factors which are point of…

Q: Compute the Revenue Effect- Growth Component, indicate if favorable/(unfavorable).

A: The Revenue effect of the Growth component shows the effect of the change in units sold on the…

Q: Define days sales outstanding (DSO). What can be learned from it?How is it affected by sales…

A: The average number of days in which a firm receives payments after the sale is done is a calculation…

Q: What is the projected net income?

A: A budget can be defined as a quantitative statement developed to ascertain the funds required…

Q: What will be the revenue generated at the break-even point?

A: Break even point is a point wherein the firm does not earn any profit nor incurs any loss.

Q: What is percentage change analysis?

A: Percentage Change Analysis - in this analysis, we analyze the percentage change in amount of…

Q: What caused the increase in liquidity ratios??

A: Liquidity ratios use metrics such as the quick ratio, current ratio, and operating cash flow ratio…

Q: Which of the following transactions will not result in an increase in revenues?

A: In finance revenue increases when a sale takes place or when a transaction adds to the top line/…

Q: What is the difference between cumulative return and annualized return/CAGR). Provide an example

A: There are two methods to measure the rate of return annual basis and cumulative basis.

Q: How is the payback period is calculated?

A: Payback period is the amount or length of time taken by an investment to recover its cost.

Q: How can we apply Annual-Worth Analysis for the calculation of Unit-Profit or Unit-Cost Calculation?

A: Annual worth analysis is an analysis of value of an investment on an annual basis. It measures the…

Q: How does the residual income approach overcome this problem?

A: Definition: ROI: It is a measure of the amount of return on a particular investment with respect to…

Q: What is a “required rate of return”? Why is it called the “cost ofmoney” or the “price of money”?

A: The required rate of return can be calculated by two methods, 1) Gordan's growth model  Gordan's…

Q: what give rises to the changes in PBO balance?

A: PBO stands for the Projected Benefit Obligation. It shows how much the company would need in its…

Q: What is the Profitability Index?

A: Capital budgeting is the technique of evaluating a project which requires an initial capital…