Questions
1. The price-earnings ratio P/E is the ratio (market value of one share)/(earnings per share). If...

1. The price-earnings ratio P/E is the ratio (market value of one share)/(earnings per share). If P/E increases by 19% and the earnings per share decrease by 9%, determine the percentage change in the market value. Round your answer to the nearest percentage point.

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2. To produce each product unit, the company spends $1.75 on material and $2.95 on labor. Its total fixed cost is $9000. Each unit sells for $6.15. What is the smallest number of units that must be sold for the company to realize a profit?

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3. A company produces coffee makers. The labor cost of assembling one coffee maker during the regular business hours is $2.95. If the work is done in overtime, the labor cost is $3.75 per unit. The company must produce 800 coffee makers this week, and does not want to spend more than $2504 in labor costs. What is the smallest number of units that must be assembled during the regular hours?

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4. The current ratio (assets/liabilities) of company X is 3.5.
-> a. Given that the current assets are $245000, find the current liabilities.

The board of directors determines that the current ratio must never be below 2.6.
-> b. What is the maximum amount that the company can borrow?

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Thorough explanation for all questions please. Thank you!

In: Accounting

Cookie Co. expects to maintain the same inventories at the end of 20Y9 as at the...

Cookie Co. expects to maintain the same inventories at the end of 20Y9 as at the beginning of the year. The total of all production costs for the year is therefore assumed to be equal to the cost of goods sold. With this in mind, the various department heads were asked to submit estimates of the costs for their departments during the year. A summary report of these estimates is as follows:

Estimated
Fixed Cost
Estimated Variable Cost
(per unit sold)
Production costs:
Direct materials $26
Direct labor 17
Factory overhead $110,600 13
Selling expenses:
Sales salaries and commissions 23,000 6
Advertising 7,800
Marketing 1,700
Miscellaneous selling expense 1,900 5
Administrative expenses:
Office and officers' salaries 22,500
Supplies 2,800 2
Miscellaneous administrative expense 2,500 3
Total $172,800 $72

It is expected that 6,400 units will be sold at a price of $144 a unit. Maximum sales within the relevant range are 8,000 units.

1. What is the expected contribution margin ratio? Round to the nearest whole percent.    %

2. Determine the break-even sales in units and dollars.

Units         units

Dollars $

3. What is the expected margin of safety in dollars and as a percentage of sales?

Dollars:    $

Percentage: (Round to the nearest whole percent)   %

4. Determine the operating leverage. Round to one decimal place.

In: Accounting

what is the construction of a market demand curve for a private good differ from that...

what is the construction of a market demand curve for a private good differ from that for a public good and what are the differences of between the demand for a private good and that for a public good is that?

In: Economics

In a CM at Risk (CM/GC) project, is there privity of contract between the general contractor...

In a CM at Risk (CM/GC) project, is there privity of contract between the general contractor and the architect? Explain.

On a construction project, who ultimately pays for bonds and insurance?

In: Civil Engineering

Deflection may occur due to many factors such as construction error, settlement, excessive loading and temperature....

Deflection may occur due to many factors such as construction error, settlement, excessive loading and temperature. Comprehensively explain deflection of reinforced concrete relating to slabs.

In: Civil Engineering

Non suspended slab and suspended slab.What is the difference in details? Where is the location? What...

Non suspended slab and suspended slab.What is the difference in details? Where is the location? What is the challenge to build it?

Explain the construction of both slab step by step in details.

In: Civil Engineering

Construction Civil Engineering. Thanks A bridge replacement, including 2km approach resurfacing on each side. Question: Make...

Construction Civil Engineering. Thanks

A bridge replacement, including 2km approach resurfacing on each side.

Question: Make a Gantt chart of all major activities

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Explain what it is a neutral theorem in Euclidean geometry. State & prove both: the theorem...

Explain what it is a neutral theorem in Euclidean geometry.
State & prove both: the theorem on construction of parallel lines and its converse. Which one of them is neutral?

In: Advanced Math

A construction worker is admitted after falling approximately 15 feet from scaffolding. What diagnostic interventions does...

A construction worker is admitted after falling approximately 15 feet from scaffolding. What diagnostic interventions does the nurse anticipate in the care of this trauma patient?

In: Nursing

How does Shakespeare characterize the bio-social construction of men in these two plays? The plays are...

How does Shakespeare characterize the bio-social construction of men in these two plays? The plays are William Shakespeare's The Taming of the Shrew and William Shakespeare's play Hamlet.

In: Psychology