Mr.Matsura is a famous motivational speaker. He travels across the country by jet and gives an average of nine presentations a week. He gives his speeches in auditoriums that are always full and hold an average of 2500 people each. He charges $20 per person at each of these speeches. His average expenses for each presentation, including renting the auditorium, are about $13,000. The cost of meals, motels, jet travel, and support personnel total $75,000 per week. How many weeks will Mr.Matsura need to travel if he wants to earn $516,000 per year?
Q: The stock of CM Punk, Inc. has earned annual returns of 5%, -2%, 8%, 12%, and 4% over the last five…
A: The given return values are for the previous 5 years and not for the whole population, that is, the…
Q: What is the future value of $3,300 in 20 years at an APR of 8.6 percent compounded semiannually? (Do…
A: Future Value = Present value*(1+Interest rate)^No. of periods Where,Present Value = $3,300Interest…
Q: Help with this question
A: referenceKumar, S. (2023). Exploratory review of esg factor attribution to the portfolio return in…
Q: Unequal Lives Shao Airlines is considering the purchase of two alternative planes. Plane A has an…
A: To answer the first question,We need to find the NPV of both alternative projects.NPV, or net…
Q: Bhupatbhai
A: To calculate the cash flows for the project, we followed these steps:1. Calculated Sales Revenue: We…
Q: You plan to purchase a rented house which you could rent to earn you an annual income of $12,000.…
A: Years Cashflows PV factor PV = CF * PV factor 1 9000 0.847 $7,627.12 2 9000 0.718 $6,463.66 3 9000…
Q: Asim's Apparel's 6 year maturity, 8% annual coupon bond with $1000 face value is selling at $950 per…
A: Calculate the marginal tax rate using Excel as follows:Formula sheet:Notes:To understand the…
Q: am. 114.
A: (1) In order to determine the portfolio with the least amount of volatility, we will utilize the…
Q: Tori just purchased some equipment that belongs in a 35% CCA class. The equipment cost $167,400.…
A: Given:Equipment cost (original UCC): $167,400CCA class: 35% (declining balance method)Year…
Q: which of the following perils is excluded under a homeowner's policy lightning Civil Contamination…
A: - **Lightning** is typically covered. This includes damage directly caused by a lightning strike.-…
Q: Please Write Step by Step Solution Otherwise i give DISLIKE !!
A: ### Payback Period:The payback period is a simple measure used to assess how long it takes for an…
Q: Suppose the risk-free rate of return is 3.5 percent and the market risk premium is 7 percent. Stock…
A: To determine whether stock Ubis correctly priced,we need to compare it's expected rate of return…
Q: Nikul
A: The Expected Value of Perfect Information (EVPI) represents the maximum amount a decision-maker…
Q: If a firm's sales are $1,680,000 and it costs 9 percent to carry current assets, what is the…
A: Step 1: Find the current level of inventory.Inventory = Sales / Inventory turnover rateInventory =…
Q: Question 21 of 30 View Policies Current Attempt in Progress Which of the following capital…
A: For firms to be able to make educated choices on long-term investments, capital budgeting strategies…
Q: Bhupatbhai
A: STOCK A:E(x) = Expected ValueE(x) = ∑ x.P(x)E(x) = 0.045(0.22) + 0.125(0.62) + 0.210(0.16)E(x) =…
Q: You expect KStreet Co's trade at $95 per share right after paying a $2.00 dividend per share in one…
A: In the given, we can maximum price you should pay to buy the stock now and earn a return of at least…
Q: You buy $500,000, and make a 20% down payment. So you borrow $400,000. You have a 30 year mortgage…
A: To calculate the total amount you will pay over the 30-year mortgage, find the total of the monthly…
Q: If Carissa Dalton has a $410,000 home insured for $320,000, based on the 80 percent coinsurance…
A: Calculation of amount paid by insurance company;Given, Value of home = $410,000 Insurance coverage…
Q: Sadik Inc.'s bonds currently sell for $1,280 and have a par value of $1,000. They pay a $135 annual…
A: Step 1: The calculation of the Yield to call AB1Current price $1,280.00 2Annual coupon $ 135.00…
Q: Explain with each answer
A: Can be either higher or lower than the contract rent: This option is incorrect because the effective…
Q: an HO-3 form covers damage to a home caused by which of the following? a. Fuel oil spillage b.…
A: An HO-3 insurance policy typically covers damage to a home caused by a variety of perils, but it's…
Q: Vijay
A: To calculate the Net Present Value (NPV) for the new and old machines, we followed these steps: 1.…
Q: 3) The risk free rate is 3.5% The expected return of a well-diversified fund is 13% and the beta is…
A: Step 1: To calculate the M² ratio, we use the formula:M² ratio = (Expected return of the investment…
Q: For the Restaurant Sales database,:(a) Obtain the Min and Max amount in sales(b) For each Bin shown…
A: The relationship between sales amounts and their related frequencies is shown in the following plot…
Q: Share B is not expected to pay a dividend in the next five years. Starting from year 6, it is…
A:
Q: You need to estimate the value of Laputa Aviation. You have the following forecasts (in millions of…
A: To estimate the total value of Laputa Aviation and the value of its equity, we can use the…
Q: Nikul
A: Calculating Operating Cash Flow under Best-Case ScenarioHere's how to find the operating cash flow…
Q: None
A: To determine the current price of Hurst Company's stock, we use the dividend discount model (DDM)…
Q: ABC Inc is considering a project that will generate perpetual cash flows of $15,000 per year…
A: Step 1: Calculate the weighted average cost of capital (WACC). Debt ratio = D/(D+E) = 0.8/(0.8+1) =…
Q: $2000, twenty-year 6% bond was issued on August 15, 2021. The bond pays semiannual coupons. It was…
A: Step 1:Step 2:Step 3:
Q: Raghubhai
A: Given information: Pretax cost of debt (Kd) = 7% Cost of preferred stock (Kp) = 6% Cost of equity…
Q: Marissa Manufacturing is presented with the following two mutually exclusive projects. The required…
A: The computation for "Parts a and b" is shown in excel table below: The formula used above is shown…
Q: Question 19 of 30 View Policies Current Attempt in Progress D -/0.35 Management of Ivanhoe, Inc., is…
A: Let's break down each part of the answer thoroughly:a. **Payback Period:**The payback period is the…
Q: You have been instructed to complete a market valuation on a single tenant commercial property…
A: Certainly! Let's delve deeper into the Direct Capitalisation and Discounted Cash Flow (DCF) methods…
Q: Taylor Glass has annual sales of $1,790,000. Although it extends credit for 30 days (n30), the…
A: Approach to solving the question: For better clarity of the solution, I have provided the…
Q: At the beginning of 2012 investors had invested $25,000 of common equity in Grant Corp. and expect…
A:
Q: Nikul
A: To calculate for the net income Step 1 : Calculate the interest incomeInterest Income = (Investment…
Q: Pisa Pizza, a seller of frozen pizza, is considering introducing a healthier version of its pizza…
A: a.Soution. incremental sales associated with introducing the new pizza = New Pizza sale - lost sales…
Q: BP and Rosneft 2015. BP (UK) and Rosneft (Russia) had severed a long-term joint venture in 2013,…
A: a. To calculate the dividend paid to BP in US dollars in July 2014, we can use the following…
Q: Smith Bottling Company (SBC) expects this year's sales to be $624,000. SBC's variable operating…
A: Part a & b.Compute DOL, DFL and DTL for part a and EBIT and net income for part b: Formulas:
Q: please answer correctly:
A: Let's go through each step in detail to calculate the bid price for the contract. Step 1: Calculate…
Q: Consider the following Information: Rate of Return If State Occurs State of Economy Probability of…
A: a) Expected Return on Equally Weighted PortfolioStep 1: Calculate the expected return of each…
Q: Suppose we are thinking about replacing an old computer with a new one. The old one cost us…
A: Calculations:A. Equivalent Annual Cost (EAC) for Old Computer (Year 0):1. Tax shield from…
Q: Using the data in the following table, , calculate the return for investing in this stock from…
A: Absolutely, I can help you calculate the return on investment for this stock.Here's how to calculate…
Q: A pension fund currently invests in five different stocks as follows: Stock A B C D E Invested…
A: Expected Return Calculations using CAPMThe Capital Asset Pricing Model (CAPM) formula is used to…
Q: Suppose that Mullen Co, a U.S.-based MNC, knows that it will need 200,000 pounds in one year in…
A: Mullen Co. Currency Call Option AnalysisScenario 1: Pound Spot Rate = $1.18Per Unit Cost of Owning…
Q: Imagine American Airlines (AA) is concerned about fuel prices rising in the minimize price risk, AA…
A: Let's go through the detailed calculation for the net price American Airlines (AA) pays for crude…
Q: ESTIMATE THE COST OF DEBT Below is information on Yum!'s bonds: Maturity Year Book value (m) Quoted…
A: Let's estimate the cost of debt based on the information provided in the table about Yum!'s bonds.…
Q: You are evaluating a project for The Ultimate recreational tennis racket, guaranteed to correct that…
A: ## Cash Flow Analysis for The Ultimate Tennis Racket ProjectHere's a breakdown of the cash flows for…
Step by step
Solved in 2 steps
- George runs a coffee shop. His total sales are $107,758 per month. He has the following monthly expenses: rent is $5,140 wage expense is $21,076 material supplies are $10,545. George owns the building where he has his coffee shop. He could rent this space for $11,766 per month. If George only cares about earning the maximum income possible, what is the minimum monthly salary he would have to earn at his next best employment opportunity to get him to close his coffee shop? Enter a whole number with no dollar sign.At Aspen Trucking Company, the average driver out of its 200 driver employees travels 1,600 miles per week (50 weeks per year) and it charges customers $2.15 per mile. Aspen provides each driver a $95,000 big rig and pays the driver $0.58 per mile. It estimates that the direct cost, other than the driver, for operating a truck is $0.75 per mile. Jack, the sales manager has been working on several ways to grow the revenue of the business by 10%. Since he has had to turn away business, Jack has now decided that the best way to do that is a combination of adding drivers and equipment along with a price increase of 2.5% next year. He knows that a first time driver will only be 75% productive in his or her first year and it will cost $5,500 to recruit each one. Assuming he can get all needed drivers hired by the first working day of the year, what will Aspen’s first year approximate cash flow be from this growth initiative? Please solve with excel. Group of answer choices a. $8,500 b.…Phoenix was a professional classical guitar player until a motorcycle accident left him disabled. After long months of therapy, he hired an experienced luthier and started a small shop to make and sell Spanish guitars. The guitars sell for $705,and the fixed monthly operating costs are as follows: Rent and utilities $810 Wages and benefits to luthier $2,510 Other expenses $480 Phoenix's accountant told him about contribution margin ratios, and Phoenix understood clearly that for every dollar of sales, $0.60 went to cover his fixed costs, and anything above that point was profit. Phoenix is planning to increase the sales price to $760. What impact will the increase in sales price have on the contribution margin ratio?
- The orthopods & the radiologistSuppose that there are ten orthopaedic surgeons that have their private consultation rooms in a shared facility. Currently each earns $20,000 per month and pays $10,000 per month towards the operating expenses of the joint facility.A world renowned radiologist has just moved to town and is deliberating over where to set-up his practice. If he goes it alone he will earn $300,000 per month and will have to incur a monthly operating cost of $100,000. On the other hand, the orthopods have calculated that if they were to accommodate him in their existing facility, their total operating costs would increase from $100,000 to $120,000 per month, but each individual practice will increase its revenues from $20,000 to $50,000 per month. Moreover, they have convinced the radiologist, that his practice will also increase revenues from patients by $20,000 per month.Assuming that the 10 orthopods have chosen a representative to negotiate with the radiologist (so…Mary Smith is the owner and manager of a small bakery, “Mary’s Cookies”, which is known for its special gigantic almond-chocolate chip cookies. She has been offered a job by Cookie Monster, Inc., to come to work for them at $110,000 per year. Currently, she is producing her own cookies and she has revenues of $260,000 per year. Her costs are $10,000 for rent, $35,000 for ingredients, $5,000 for utilities, and $80,000 for wages, including $40,000 for Mary in concept of manager’s salary. She has $100,000 of her own money invested in the operation, which if she leaves, can be sold for $40,000 that she can invest at 8.2% per year. Using this information, calculate: Accounting profits = $ Economic profits = $ If instead, Mary pays herself no salary: Accounting profits = $ Economic profits = $Jason owns a fish shop where he sells an exotic variety of tuna fish which he imports from Japan.Jason refrigerates the fish in a cold storage facility near his shop that charges him a fixed annual fee of $1000 and variable charge of $5 per day for each fish container that is stored.Every morning, Jason brings fish from the cold storage to his shop for sale. Jason estimates that he incurs $10,000 electricity cost each year on refrigerating the fish inside his own shop.Jason incurs the following ordering costs:Delivery charges of $10,000 per deliveryImport duties of $300 per cartonCustom fees of $200 per orderImport license fee of $150 per annumJason currently imports fish by placing one order of 20 cartons every month. Each carton costs $2,000.Jason is wondering if he can save inventory costs by adopting EOQ model.a) Calculate the current annual total inventory costsb) Calculate the economic order quantityc) Calculate the annual total inventory costs if EOQ is used
- Elliott, Inc., has four salaried clerks to process purchase orders. Each clerk is paid a salary of$25,750 and is capable of processing as many as 6,500 purchase orders per year. Each clerk usesa PC and laser printer in processing orders. Time available on each PC system is sufficient toprocess 6,500 orders per year. The cost of each PC system is $1,100 per year. In addition to thesalaries, Elliott spends $27,560 for forms, postage, and other supplies (assuming 26,000 purchaseorders are processed). During the year, 25,350 orders were processed.Required:1. Classify the resources associated with purchasing as (1) flexible or (2) committed.2. Compute the total activity availability, and break this into activity usage and unused activity.3. Calculate the total cost of resources supplied (activity cost), and break this into the cost ofactivity used and the cost of unused activity.4. (a) Suppose that a large special order will cause an additional 500 purchase orders. Whatpurchasing costs are…Elliott, Inc., has four salaried clerks to process purchase orders. Each clerk is paid a salary of $25,750 and is capable of processing as many as 6,500 purchase orders per year. Each clerk uses a PC and laser printer in processing orders. Time available on each PC system is sufficient to process 6,500 orders per year. The cost of each PC system is $1,100 per year. In addition to the salaries, Elliott spends $27,560 for forms, postage, and other supplies (assuming 26,000 purchase orders are processed). During the year, 25,350 orders were processed. REQUIRED: 1. Classify the resources associated with purchasing as (1) flexible or (2) committed. 2. Compute the total activity availability, and break this into activity usage and unused activity. 3. Calculate the total cost of resources supplied (activity cost), and break this into the cost of activity used and the cost of unused activity. (a) Suppose that a large special order will cause an additional 500 purchase orders. What purchasing…Elliott, Inc., has four salaried clerks to process purchase orders. Each clerk is paid a salary of $25,750 and is capable of processing as many as 6,500 purchase orders per year. Each clerk uses a PC and laser printer in processing orders. Time available on each PC system is sufficient to process 6,500 orders per year. The cost of each PC system is $1,100 per year. In addition to the salaries, Elliott spends $27,560 for forms, postage, and other supplies (assuming 26,000 purchase orders are processed). During the year, 25,350 orders were processed. Required: 1. Which of the resources associated with purchasing can be classified as flexible resources? Forms, Postage and Supplies Which of the resources associated with purchasing can be classified as committed resources? PC system and clerks 2. Compute the total activity availability, and break this into activity usage and unused activity. Activity availability: fill in the blank 3 purchase orders Activity usage: fill in the blank…
- Golden Age Retirement Planners specializes in providing financial advice for people planning for a comfortable retirement. The company offers seminars on the important topic of retirement planning. For a typical seminar, the room rental at a hotel is $1,000, and the cost of advertising and other incidentals is about $10,000 per seminar. The cost of the materials and special gifts for each attendee is $60 per person attending the seminar. The company charges $250 per person to attend the seminar as this seems to be competitive with other companies in the same business. How many people must attend each seminar for Golden Age to break even?Ajax was a professional classical guitarist until a motorcycle accident left him disabled. After long months of therapy, he hired an experienced luthier and started a small shop to make and sell Spanish guitars. The guitars sell for $700, and the fixed monthly operating costs are as follows: Rent and utilities $700 Wages and benefits to luthier 2,400 Other expenses 483 Ajax's accountant told him about contribution margin ratios, and Ajax understood clearly that for every dollar of sales, $0.70 went to cover his fixed costs, and anything above that point was profit. How many guitars does Ajax need to sell each month to break even? (Round your answer up to the nearest whole guitar.) A. 6 guitars B. 8 guitars C. 7 guitars D. 3 guitarsFred Flingstone operates a French Fries stand at the local flee market that operates for 8 weekends through the summer. The market vendor fee is $50 per weekend, his vendor insurance is $376 for the summer and he has committed to paying a helper $150 per weekend. His variable costs are $1.58 per French Fries (This includes the cost of napkins, ketchup and salt). He plans to sell the fries for $3.50 each and he knows from experience that he can make a maximum of 200 fries each weekend. a) How many fries does he have to sell per week to break even? b) On one weekend he gets sick and cannot get to the market? What is his net loss for that weekend? c) Another french fries vendor at the market sells fries for $3.10 each. How many fries would Fred have to sell in summer at this price to break even assuming none of his costs change? d) How much would he have to change the variable costs (assuming original fixed costs) to maintain his original break even point if he sold fries at $3.00?
