SciTronics had a total of $ 102,000 (75,000 + 27,000) of capital at year-end 2008 and earned before interest but after taxes (EBIAT) $ 16,120 (avg. tax rate = 38%) during 2008. Its return on capital was 15.8% in 2008 which represented an increase from the 8.7% earned in 2005. 4. SciTronics had $ 75,000 of owners’ equity and earned $ 14,000 after taxes in 2008.
5, 6) Lima Parts, Inc., shows the following overhead information for the current period: Actual overhead incurred $ 29,400 2/3 of which is variable Budgeted fixed overhead $ 8,640 per hour Standard variable overhead rate per direct labor-hour $ 9.00 Standard hours allowed for actual production 2,350 hours Actual labor-hours used 2,200 hours ________________________________________ Required: What are the variable overhead price and efficiency variances and fixed overhead price variance? (Input all amounts as positive values. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Omit the "$" sign in your response.) Amounts Variable overhead: Price variance $ (0%) (0%) Efficiency variance $ (0%) (0%) Fixed overhead: Price variance $ (0%) (0%) ________________________________________ P16-45 Overhead Variances (L.O.
Return on common stockholders’ equity $29,946,992 - (2430872-15801332) / 200,000 = 82.9% * Solvency ratios 9. Debt to total assets $7,628,563 / 34,825,498 = 22% 10. Times interest earned 3,272,314 / 121,533 = 26.9 Riordan Manufacturing, Inc. Horizontal Analysis for the Balance Sheet Increase or (Decrease) 2010($) 2009($) Amount % Assets Cash $2,807,029 $1,511,253 $1,295,776* 46.1%* Account Receivables $2,695,342 $2,644,307 $51,035 1.9% Current Portion of Note Receivable $102,976 $117,475 ($14,499) (14.1%) Inventory $8,517,203 $7,123,790 $1,393,413 16.4% Deferred Income Taxes – net $0 $0 $0 0% Pre-Paid Expenses and other Items $402,240 $458,875 ($56,635) (14.1%) Total Current Assets $14,524,790 $11,855,700 $2,669,090 18.4% Liabilities Current Liabilities Current Portion of Long-Term Debt $474,032 $484,894 ($10,862) (2.3%) Accounts Payable $1,391,385 $1,636,923 ($245,538) (17.6%) Accrued
DM Statistics Exercise 1: The automobile industry sold 657,000 vehicles in the United States during January 2009 (The Wall Street Journal, February 4, 2009). This volume was down 37% from January 2008 as economic conditions continued to decline. The Big Three U.S. automakers— General Motors, Ford, and Chrysler—sold 280,500 vehicles, down 48% from January 2008. A summary of sales by automobile manufacturer and type of vehicle sold is shown in the following table. Data are in thousands of vehicles.
Income Statement and Related Footnotes a. Is the general format of the income statement closer to single-step or multiple-step? The general format of the income statement is closer to multiple-step. b. Income Statement figures for the most recent fiscal year Cost of goods sold Amount | Percentage of total revenue | $47,860,000,000 | 68.50% ($47,860,000,000/$69,865,000,000) | Reference: Consolidated Statements of Operations, Form 10-K, Page 31.
Assume commercial use is at the March level. Also assume that the Sales Promotion and Corporate Services expenses will be at the same levels as in March. Salem Data Services Contribution Margin Income Statement For the Quarter Ended March 31, 2004 Revenues Intracompany $ 82,000 Commercial 110,400 Total Revenues: $ 192,400 Less: Variable Expenses Power (at $4.70) $ 1,612 Operations: Hourly Personnel (at $24.00) 8,232 Total Variable Expenses: $ 9,844 Contribution Margin $ 182,556 Less: Fixed Expenses Rent $ 8,000 Custodial Services 1,240 Computer Leases 95,000 Maintenance 5,400 Depreciation 26,180 Operations: Salaried Staff 21,600 Systems Development & Maintenance 12,000 Administration 9,000 Sales 11,200 Sales Promotion 8,083 Corporate Services 15,236 Total Fixed Costs: $ 212,939 Net Income $ (30,383) 4. Assuming the intracompany demand for service will average 205 hours per month, what level of commercial revenue hours of computer use would be necessary to
What is correct here? 26 Which of the following is never negative? 27 If the marginal product of labor is 100 and the price of labor is 10, while the marginal product of capital is 200 and the price of capital is $30, then what should the firm? 28 In a production process, an excessive amount of the variable input relative to the fixed input is being used to produce the desired output. This statement is true for: 29 What method of inventory valuation should be used for economic decision-making problems?
What is correct here? 26 Which of the following is never negative? 27 If the marginal product of labor is 100 and the price of labor is 10, while the marginal product of capital is 200 and the price of capital is $30, then what should the firm? 28 In a production process, an excessive amount of the variable input relative to the fixed input is being used to produce the desired output. This statement is true for: 29 What method of inventory valuation should be used for economic decision-making problems?
X2 = Number of EXCELLENT model produced during 8 hour shift. Max 42X1 + 87X2 ST X1 + X2 ≤ 480 3X1 + 6X2 ≤ 480 4X1 + 2X2 ≤ 480 X1 ≥ X2 3X1 + 6X2 ≤ 4X1 + 2X2 + 30 3X1 + 6X2 ≤ 4X1 + 2X2 – 30 X1, X2 ≥ 0 If the management limits the difference between Line 1 and Line 2 up to 30 minutes, it is recommended to produce about 96.667 (or 97) units of SUPER and 31.667 (or 32) units of EXCELLENT in order to maximize the total profit. Even it gives $65 reduction on initial profit, there will be more efficient balance on workload where time for Line 1 is fully utilized and on Line 2 there is only 30 minutes of unused time. (See attached print-out, table № 6) Question 6 Let X1 = Number of SUPER model produced during 8 hour shift. X2 = Number of EXCELLENT model produced during 8 hour shift.
If Ajax were to select any project outside A, C, G, and B – such as project D (the next best project after B) – that project would generate a marginal rate of return (16 %) which is less than the marginal cost of funds required for financing, in this instance, 18 %. Therefore, the ideal capital budget is to invest in projects A, C, G, B, for a total of $875 million. Question 4 The Demand for MICHTEC’s products is related to the state of the economy. If the economy is expanding next year (an above-normal growth in GNP), the company expects sales to be $90 million. If there is a recession next year (a decline in GNP), sales are expected to be $85 million.