In: Statistics and Probability
| Profitability | 12/31/2018 | 12/31/2019 | 12/30/2020 | |
| Gross Profit Margin | 24.93% | 26.97% | 33.31% | |
| Operating Profit Margin | 6.53% | 4.70% | 6.03% | |
| Net Profit Margin | 33.89% | 2.13% | 3.81% | |
| Efficiency | ||||
| A/R DOH | 58.15 | 46.84 | 45.75 | |
| INVEN DOH | 178.25 | 144.33 | 144.54 | |
| A/P DOH | 60.03 | 50.00 | 59.32 | |
| Asset Turnover | 1.17 | 1.45 | 1.46 | |
| Leverage | ||||
| Debt/Equity | 128.92% | 171.43% | 232.85% | |
| LTD/Total Capital | 36.93% | 45.63% | 53.79% | |
| Debt/Total Capital | 128.92% | 171.43% | 232.85% | |
| Debt/EBITDA | 5.92 | 6.22 | 5.76 | |
| Times Interest Earned | 11.98 | 5.53 | 8.75 | |
| Fixed Charge Coverage | 11.98 | 5.53 | 8.75 | |
| Liquidity | ||||
| Current Ratio | 2.42 | 2.21 | 2.07 | |
| Quick Ratio | 1.03 | 0.91 | 0.97 | |
| Cash Conversion Cycle | 176.37 | 141.18 | 130.98 | |
| Returns | ||||
| Return on Equity | 90.59% | 8.36% | 18.59% | |
| Return on Assets | 39.57% | 3.08% | 5.58% | |
| Return on Capital |
In: Finance
|
Ben Ryatt, professor of languages at a southern university, owns a small office building adjacent to the university campus. He acquired the property 12 years ago at a total cost of $670,000—$62,000 for the land and $608,000 for the building. He has just received an offer from a realty company that wants to purchase the property; however, the property has been a good source of income over the years, so Professor Ryatt is unsure whether he should keep it or sell it. His alternatives are: |
|
Keep the property. Professor Ryatt’s accountant has kept careful records of the income realized from the property over the past 10 years. These records indicate the following annual revenues and expenses: |
| Rental receipts | $ | 163,000 | |
| Less building expenses: | |||
| Utilities | $ 29,200 | ||
| Depreciation of building | 18,700 | ||
| Property taxes and insurance | 20,300 | ||
| Repairs and maintenance | 11,200 | ||
| Custodial help and supplies | 44,200 | 123,600 | |
| Net operating income | $ | 39,400 | |
|
Professor Ryatt makes a $13,200 mortgage payment each year on the property. The mortgage will be paid off in 10 more years. He has been depreciating the building by the straight-line method, assuming a salvage value of $9,700 for the building, which he still thinks is an appropriate figure. He feels sure that the building can be rented for another 16 years. He also feels sure that 16 years from now the land will be worth 2.10 times what he paid for it. |
|
Sell the property. A realty company has offered to purchase the property by paying $200,000 immediately and $21,000 per year for the next 16 years. Control of the property would go to the realty company immediately. To sell the property, Professor Ryatt would need to pay the mortgage off, which could be done by making a lump-sum payment of $82,000. Professor Ryatt requires a 12% rate of return. (Ignore income taxes.) |
|
|
| Required: |
| a. |
Calculate the net present value of cash flows using total cost approach if he keeps the property. (Any cash outflows should be indicated by a minus sign. Round discount factor(s) to 3 decimal places and intermediate calculations to nearest dollar amount.) |
| b. |
Calculate the net present value of cash flows using total cost approach if he sells the property. (Any cash outflows should be indicated by a minus sign. Round discount factor(s) to 3 decimal places and intermediate calculations to nearest dollar amount.) |
In: Accounting
Old World Charm, Inc. specializes in selling scented candles. The company has established a policy of reordering inventory every other month (which is 6 times per year). A recently employed MBA has considered New England's inventory problem from the EOQ model viewpoint. If the following constitute the relevant data, what is the extra total cost of the current policy compared with the total cost of the optimal policy? Enter your answer rounded to two decimal places. Do not enter $ or comma in the answer box. For example, if your answer is $12,300.456 then enter as 12300.46 in the answer box.
Ordering cost = $10 per order
Carrying cost = 20% of purchase price
Purchase price = $15 per unit
Total sales for year = 1,000 units
Safety stock = 0
In: Accounting
Old World Charm, Inc. specializes in selling scented candles. The company has established a policy of reordering inventory every other month (which is 6 times per year). A recently employed MBA has considered New England's inventory problem from the EOQ model viewpoint. If the following constitute the relevant data, what is the extra total cost of the current policy compared with the total cost of the optimal policy? Enter your answer rounded to two decimal places. Do not enter $ or comma in the answer box. For example, if your answer is $12,300.456 then enter as 12300.46 in the answer box. Ordering cost = $10 per order Carrying cost = 20% of purchase price Purchase price = $15 per unit Total sales for year = 1,000 units Safety stock = 0
In: Finance
Prepare a brief presentation that explains how
using BI will bring success to the company.
Why should a company invest in their business intelligence?
What does the CEO need to know about BI?
How does it give them a competitive advantage?
In: Operations Management
Complete a Health History Interview on a Volunteer
discuss what challenges you anticipate could occur during the selection of your volunteer and the actual interview process? Time management, cultural differences, specific content, personal discomfort?
In: Nursing
1. Offer some reasons that a company might choose to merge with or acquire another company.
2. Discuss some of the implications of overpaying for an acquired company?
In: Finance
Jaron Baker is a 10-year-old boy who is admitted to the health care facility with a fractured tibia after falling from his bicycle on the way home from a friend’s house. He is scheduled for surgery to repair the fracture. During the interview, Jaron offers little information, allowing his parents to answer most of the questions. When the nurse asks Jaron questions, he uses few words, often limiting the answers to yes, no, or I don’t know. (Learning Objectives 14, 15)
a. What factors may be contributing to Jaron’s participation in the interview?
b. How might the nurse approach Jaron to gather additional information?
c. Based on Jaron’s developmental level, which interventions in preparation for surgery would be most appropriate?
In: Nursing
Mueller Company purchased equipment on January 1, 2015 for $2,000,000. Because of the unique kind of equipment and the possibility of radioactivity from its components, the equipment will require very special disposal at the end of its useful life of 15 years. Mueller estimates the cost of disposal at $250,000 (ARO). The equipment is depreciated using the straight line method. Mueller's operations have experienced significant losses for the past 2 years and, as a result, the company has decided that the equipment should be evaluated for possible impairment at the beginning of 2020. The management of Mueller Company estimates that the equipment has a remaining useful life of 7 years. Net cash inflow from the equipment will be $157,000 per year.The fair value of the equipment and the ARO is determined using a 12% discount rate or cost of capital.
In: Accounting