All categories

2 years ago

EP Enterprises has the following income statement. How much net operating profit after taxes (NOPAT) does the firm have?

Business

1 answer:

mezya [45]2 years ago

8 0

Answer:

Option (c) is correct.

Explanation:

Given that,

Sales = $ 2,000.00

Costs = 1,400.00

Depreciation = 250.00

EBIT = $ 350.00

Interest expense = 70.00

EBT = $280.00

Taxes (25%) = 112.00

Net income = $168.00

Net operating profit after taxes (NOPAT):

= EBIT × (1 - tax rate)

= $350 × (1 - 25%)

= $350 × 0.75

= $262.50

Therefore, the net operating profit after taxes (NOPAT) is $262.5.

You might be interested in

Glascro Company manufactures skis. The management accountant wants to calculate the fixed and variable costs associated with the

omeli [17]

Answer:

The correct answer is D.

Explanation:

Giving the following information:

Month - Lease cost - Machine hours

April: $15,000 - 800

May: $10,000 - 600

June: $12,000 - 770

July: $16,000 - 1,000

Using the high-low method, first, we need to determine the unitary variable cost. We need to use the following formula:

Variable cost per unit= (Highest activity cost - Lowest activity cost)/ (Highest activity units - Lowest activity units)

Variable cost per unit= (16,000 - 10,000) / (1,000 - 600)

Variable cost per unit= $15 per unit

Now, we can calculate the fixed costs:

Fixed costs= Highest activity cost - (Variable cost per unit * HAU)

Fixed costs= 16,000- (15*1,000)

Fixed costs= $1,000

Fixed costs= LAC - (Variable cost per unit* LAU)

Fixed costs= 10,000 - (15*600)

Fixed costs= $1,000

6 0

2 years ago

Given a prior forecast demand value of 1,100, a related actual demand value of 1,000, and a smoothing constant alpha of 0.3, wha

Korvikt [17]

Answer:

1,030

Explanation:

Calculation for what is the exponential smoothing forecast value

Exponential smoothing forecast value = 1,000 + 0.3 x (1,100-1,000)

Exponential smoothing forecast value = 1,000 + 0.3 x (100)

Exponential smoothing forecast value = 1,000 + 30

Exponential smoothing forecast value= 1,030

Therefore the exponential smoothing forecast value will be 1,030

5 0

2 years ago

George walks in and wants to send multiple back to back transactions to the

Gala2k [10]

The statement "The sender & receiver don't know each other, money send for sounds like very good to be true dealing, and the motive of the transactions with respect to the online goods is considered to be questionable" is considered to be the red flag.

The sender i.e. Geroge who not even know the receiver that sells the homeopathy remedies online so this could raise a few issues but it is not to be considered very serious for red-flagged:

Since e-commerce arises each and every time that lies between non-known parties online.

This is due to the dirt chape that could make it suspicious also they don't know each other so this should be considered red-flagged.

The instructions with regard to the payment do not represent any signal of reliability and truthfulness so might me the receiver is trustworthy and genuine.
In the case when the homeopathy remedies do not have the licensing and permissions so it would become questionable.

No one could suggest the specific brand of homeopathy as it becomes nonprofessional and non-appropriate, so the last option is not be considered.

Therefore we can conclude that The statement "The sender & receiver don't know each other, money send for sounds like very good to be true dealing, and the motive of the transactions with respect to the online goods is considered to be questionable" is considered to be the red flag.

Learn more about homeopathy here: brainly.com/question/7460064

8 0

1 year ago

Read 2 more answers

An examination of the Ricardian model of comparative advantage yields the clear result that trade is (potentially) beneficial fo

Zarrin [17]

Answer:There are gains from trade but the distribution of these gains may not be the same for everyone

Explanation:There are some correlation between economic growth and trade.

Global economics intergration may be a potential factor that causes trade to affect economic growth positively.

When there is global intergration companies learn to adopt new technologies and those which doesn't may phase out ,dynamic firms which can export to the world experience an increase in demand and this lead to these companies gaining the advantage of operating on larger scale where price per unit product becomes lower. This means the company isnt restricted to their country of origin.

They can also lean and be innovative as they obtain more experience from exposures to certain technologies and adopt those technologies and certain standards that make these company compete efficient.

5 0

2 years ago

Christopher just received his checking account statement from his bank. He has a NOW account with free checking that pays 0.75%

Nastasia [14]

All but He should give up some liquidity are correct.

Explanation:

Cash management is the credit inflow and outflow management process. In the financial sector, both individuals and corporations have a lot of cash management factors and solutions. The cash flow statement for companies is a key element in the management of cash flow.

The following shall be included in general working capital:

Current assets: Money, receivable accounts for one year, stock

Current liabilities: All sales and marketing in respect of one year, short-term debt paid in respect of one year.

3 0

2 years ago