Explore BrainMass
Share

# Finance

### Breakeven Point: How Does It Help in Making Decisions?

What is the breakeven point? What decisions does the breakeven point help an organization to make? What financial actions might an underperforming organization take to reach breakeven point? Have you calculated your own personal break even point?

### Calculate Break-even point and operating leverage

The average selling price of its finished product is \$175 per unit. The variable cost for these same units is \$115. Incurs fixed costs of \$650,000 per year. a. What is the break-even point in units for the company? b. What is the dollar sales volume the firm must achieve to reach the break-even point? c. What would be the f

### The following defined pension data of Doreen Corp. apply to the year 2008. Projected benefit obligation, 1/1/08 (before amendment) \$560,000 Plan assets, 1/1/08 546,200 Prepaid/accrued pension cost (credit) 13,800 On January 1, 2008, Doreen Corp., through plan amendment, grants prior service benefits having a present value of 100,000 Settlement rate 9% Service cost 58,000 Contributions (funding) 55,000 Actual (expected) return on plan assets 52,280 Benefits paid to retirees 40,000 Prior service cost amortization for 2008 17,000 Instructions For 2008, prepare a pension worksheet for Doreen Corp. that shows the journal entry for pension expense and the year-end balances in the related pension accounts.

E20-7 (Basic Pension Worksheet) The following defined pension data of Doreen Corp. apply to the year 2008. Projected benefit obligation, 1/1/08 (before amendment) \$560,000 Plan assets, 1/1/08 546,200 Prepaid/accrued pension cost (credit) 13,800 On January 1, 2008, Doreen Corp., through plan amendment, grants prior ser

### THEORETICAL STOCK PRICES AND HOW THEY REACT TO MARKET FORCES

Find an estimate of the risk-free rate of interest (krf). To obtain this value, go to Bloomberg.com: Market Data and use the "U.S. 10-year Treasury" bond rate (middle column) as the risk-free rate. In addition, you also need a value for the market risk premium. Use an assumed market risk premium of 7.5%. â?¢Download the XYZ S

### Are people ready to start investing again?

Could you answer this in a easy short way for the average person understand? Are people ready to start investing again? Since the last 5 months, the overall stock market has made a remarkable recovery of since its March lows. Many of my close family and friends retirement plans and 401k plans got disseminated during last

### BMW Company: Core Factors for the Success of a Company

BMW Company Review and consider what has made, and what sustains your company in its success. What makes it a great company to work for; and to do business with; and to invest in? Choose three reasons that, for you, make the most sense as the core factors for the success of your company. (Note that for any great company,

### How can the concept of price elasticity be used to help identify a brand's competitors?

How can the concept of price elasticity be used to help identify a brand's competitors?

### Hypothesis Identification and Article Analysis

Use the University Library or the Electronic Reserve Readings to locate a peer-reviewed article that reports original research and pertains to a specific, stated hypothesis that was used to validate a research study. Use major databases in the Online Collection and the key search words research studies in to obtain an article

### How the Fed is like our Constitution

"The Federal Reserve System resembles the U.S. constitution in that it was designed with many checks and balances." Explain and illustrate. Thanks for getting me started... Like our Constitution the Federal Reserve does have checks Question answered in detail. Download for full answer.

### Cash Budget Affect Short-Term Financing Decisions

How does a cash budget affect short-term financing decisions? How can effective forecasting contribute to a heath care organization's financial success?

### Mini Case: Phillips Petroleum

Mini Case Phillips Petroleum is an integrated oil and gas company with headquarters in Bartlesville, Oklahoma, where it was founded in 1917. The company engages in petroleum exploration and production worldwide. In addition, it engages in natural gas gathering and processing, as well as petroleum refining and

### ROI (Return on investment in learning)

What metrics might be useful for evaluating the effectiveness of a company's training program? ROI (Return On Investment in learning)?

### Amount of an Investment

The amount of an investment of P dollars for t years at simple interest rate r is given by A=p+prt. a) Rewrite this formula by factoring out the greatest common factor on the right - hand side. b) Find A if \$8300 is invested for 3 years at a simple interest rate of 15%.

### Bailouts of the Banks, Investment Companies and Auto Makers

What are your thoughts on the bailouts of the banks, investment companies (selected investment companies) and auto makers? Should we have let the market evolve on its own, through enforcement of private contracts and competition? Why or why not?

### Accounting: Absorption Income Statement

Below find production and sales information for Herrestad Company. We will use this same company for all the SLPs in this course. Product information Beginning inventory 0 Units produced 10,000 quot; valign="bottom"> Units sold 8,000 Selling price per unit \$300 Variable costs per

### financial planning for goals with mutually exclusive projects

Financial planning can be tricky when balancing goals. How does a firm determine which goals are more important to pursue when projects are mutually exclusive?

### Discussion on Global Investment Banking Process

How has the global investment banking process assisted McDonalds? I have researched the McDonalds website and other relevant websites. I have looked over the last 3 years of investment reports. Please provide references.

### Finance

Suppose you currently earn taxable income of \$100,000 per year. You are subject to an MTR of 50%. Currently, your ATR is 35 percent. Calculate your annual tax. Calculate the extra tax that you would pay per year if your annual income increased to \$110,000. What is your ATR when your annual income is \$110,000?

### How many days of float would a lock box system need to save to be justified?

Question 1. Part a) Assume the following facts about a firm: Annual cost to maintain lock box \$1,500 Cost to process each cheque \$0.15 Average amount of each cheque received \$1,500 Number of cheques received per year 4,000 Interest rate on borrowed funds 8.0% How many days of float would a lock box system need to s

### Promotion & Price

For the following two product categories and their associated target markets, discuss how they are currently marketed and why as well as looking at how you as a business owner might price such products/services. 1. Pet Food for Dog Owners 2. Gym Memberships Targeting Women

### Taxation: Angela owns all the stock of A, B, and P Corporations

Here's a simple taxation problem that I need help with......thanks for getting me started! ============================================ Angela owns all the stock of A, B, and P Corporations. P has owned all the stock of S1 Corporation for six years. The P-S1 affiliated group has filed a consolidated tax return in each of the

### Accounting Questions

1. Accounts officers at Xerox corporation discovered that significant errors have been made in the valuation of inventory and are worried that it might have significant impact on the net income and earnings per share. What are the possible top three effects of the errors on net income? What could have been the top two reasons be

### Managerial Finance - Green Sisters, Winston Washer, Needham

3.1 Greene Sisters has a DSO of 20 days. The company's average daily sales are \$20,000. What is the level of its account receivable? Assume there are 365 days in a year. 3.2 Vigo Vacations has an equity multiplier of 2.5. The company's assets are financed with some combination of long-term debt and common equity. What is the

### Invest in Oracle's bonds in your investment portfolio

Background For purposes of this exercise, assume that you are the manager of a mutual fund specializing in corporate bonds. Your clientele are mostly 45 and older, risk-averse, long-term investors. Remember that there are countless mutual funds your investors can turn to; unless you continuously produce higher returns than o

### Church Inc. - What is the current price of the common stock?

Church Inc. is presently enjoying relatively high growth because of a surge in the demand for its new product. Management expects earnings and dividends to grow at a rate of 40% for the next 4 years, after which competition will probably reduce the growth rate in earnings and dividends to zero, i.e., g = 0. The company's last di

### Finance (project mgmt)

After a project begins, what are factors that will most likely have a negative impact on the project? Please list at least two factors and explain which one has the most negative impact and why.

### 15 - 12A. A Study in Calculating a Break-Even Point

15 - 12A. Break-Even Point You are a hard-working analyst in the office of financial operations for a manufacturing firm that produces a single product. You have developed the following cost structure information for this company. All of it pertains to an output level of 10 million units. Using this information, find the brea

### Break even point and operating leverage

15-12A. (Break-even point) You are a hard-working analyst in the office of financial operations for a manufacturing firm that produces a single product. You have developed the following cost structure information for this company. All of it pertains to an output level of 10 million units. Using this information, find the break-e

### Finance in Healthcare: Interpret balance sheet, prospective financial statements

I need to create prospective financial statements (Balance Sheet, Income Statement, Statement of Retained earnings and Cash Flow Statement) using the information below. 1. The National Nursing Home Co., has current assets of \$147 million: property plant and equipment of \$206 million; and other assets totaling \$58 million. Cu

### Common size statement for three years of data

See attached file. Please prepare the common size statement of the attached Income statement for three years (2010, 2009, 2008). Dec 2010 Dec 2009 Dec 2008 Revenue 67,809.0 50,009.0 48,296.0 Cost of Goods Sold 16,279.0 8,888.0 8,112.0 Gross Profit 51,530.0 41,121.0 40,184.0 Gross Profit Margin (%) 0.8 0.8 0