Answer:
(3) $3,750,000
Explanation:
The computation of the expect monthly sales to be as high is shown below:
Given that
Sales per month = $300,000
Royalty payments = 8% of sales
So, the expected monthly sales would be
= Sales per month ÷ Royalty payments percentage
= $300,000 ÷ 8%
= $3,750,000
We simply divided the sales per month by the royalty payment percentage i.e 8%
Answer:
A) Core Competency
Explanation:
Core Competency
Core competency refers to an organisation's strategic advantage over its competitors, it means the capabilities and the resources that a business must find, cultivate and explore in order to have an advantage over its competitors in the same line of business.
In order for an activity to be defined as a business' core competence, that activity must be unique, making it difficult for others to re-produce an it must also produce a unique level of benefit or value for the consumers of the product.
Since the car parts company has innovated a new automobile product with unique value, <u>It has cultivated and explored its core competency </u>
Answer:
an increase of $5,000 in the cash flows from financing activities
Explanation:
There are three types of activities in the cash flow statement which are described below:
1. Operating activities: It includes those transactions which affect the working capital after net income. The increase in current assets and a decrease in current liabilities would be deducted whereas the decrease in current assets and an increase in current liabilities would be added.
These changes in working capital would be adjusted. Moreover, the depreciation expense is added to the net income
2. Investing activities: It records those activities which include purchase and sale of the long term assets. The purchase is an outflow of cash whereas sale is an inflow of cash
3. Financing activities: It records those activities which affect the long term liability and shareholder equity balance. The issue of shares is an inflow of cash whereas redemption and dividend is an outflow of cash, and the increase in note payable is also recorded
The computation is shown below:
= Ending balance of note payable - beginning balance of note payable
= $40,000 - $35,000
= $5,000
Answer:1 is construction 2 is design/pre-construction 3 maintenace/operations 4 construction 5 design/pre-construction
Explanation:
i got them all right
Answer:
The amount of the change in the earnings per share as a result of this change in the capital structure will be $0.16
Explanation:
all equity equity and debt
expected EBIT $600 $600
interest (-) ($192)
profit before tax $600 $408
tax (-) (-)
earnings to equity share holders $600 $408
number of equity sahes 500 300
earnings per share $1.20 $1.36
change in the earnings per share = $1.36 - $1.20
= $0.16
Therefore, The amount of the change in the earnings per share as a result of this change in the capital structure will be $0.16