Purchase Solution

Frantic Fast Foods and Sanders' Prime Time Lighting

Not what you're looking for?

Ask Custom Question

1. Frantic Fast Foods had earnings after taxes of $390,000 in the year 2000 with 300,000 shares outstanding. On January 1, 2001, the firm issued 25,000 new shares. Because of the proceeds from these new shares and other operating improvements, earnings after taxes increased by 20 percent.

a. Compute earnings per share for the year 2000.
b. Compute earnings per share for the year 2001.

2. Sanders' Prime Time Lighting Co. has annual credit sales of $1,800,000 and accounts receivable of $210,000. Compute the value of the average collection period.

Purchase this Solution
Solution Summary

The solution provides a detailed explanation for the problem.

Solution Preview

1.
a. For the year 2000, EPS = $390,000/300,000 = $1.3
b. For the year 2001, EPS = ...

Purchase this Solution
Free BrainMass Quizzes
Learning Lean

This quiz will help you understand the basic concepts of Lean.

Team Development Strategies

This quiz will assess your knowledge of team-building processes, learning styles, and leadership methods. Team development is essential to creating and maintaining high performing teams.

Understanding the Accounting Equation

These 10 questions help a new student of accounting to understand the basic premise of accounting and how it is applied to the business world.

Marketing Management Philosophies Quiz

A test on how well a student understands the basic assumptions of marketers on buyers that will form a basis of their marketing strategies.

Organizational Leadership Quiz

This quiz prepares a person to do well when it comes to studying organizational leadership in their studies.

View More Free Quizzes
Related BrainMass Solutions

  • KFC in China for Global Business Opportunities

    Due to increasing focus towards fast foods, the total fast food industry has achieved faster growth than in any other growing economies.

  • Medical Law Overview - Dr. Sanders

    If the subpoena orders you to appear and testify for a deposition, at a trial or other court proceedings, you must appear and testify at the time, date and location stated in the subpoena.

  • type 2 diabetes and kids

    The fast foods can be nutritious; but mostly the raw material has some portion of preservatives, so, that the preparation time is very low.

  • Changes in the American economy

    Kids are increasingly getting attracted towards fast foods and unhealthy foods resulting in obesity and other eating disorders.

  • Ethics

    First, many fast food restaurants now offer super-size portions.

  • Obesity in the United States

    Eating habits, like the type of foods we eat i.e. high calorie foods, chips, pop, fast food, fried foods, hamburgers, etc. means we have more input than output and this imbalance causes weight gain.

  • dietary risk factor for heart disease

    Usually people tend to eat at fast food restaurants for "lack of time" to prepare or choose a well-balance meal that includes fruits, vegetables, and whole grains.

  • Kudler Fine Food IPO

    Currently, Kudler Fine Foods has shown fast growth and the intention of raising capital is to increase this rate of growth.

  • Marketing Research Plan for new company called 'The Hot Potato'

    Those with Type II Diabetes, High Blood Pressure and Coronary Artery Disease typically are not encouraged to consume fast foods or are limited to salads on most fast food menus.

View More Related Solutions