After-tax net cash flows are then expected to grow at a rate of 4% per year for 7 years, ending 8 years from today. In each year after that in perpetuity, after-tax net cash flows are expected to grow at a more sustainable rate of 2% per year. The project’s cost of capital is 15%. (a) [2] What is the terminal value of the project at the end of year 8? Terminal value at the end of year 8 is the value at that time of the after-tax net cash flows that the project is expected to provide after that date.
35,000 / 63 = 555.55 556 is break-even point in number of passenger train cars per month. c. If Springfield Express raises its average passenger fare to $ 190, it is estimated that the average load factor will decrease to 60 percent. What will be the monthly break-even point in number of passenger cars? To find the monthly break-even point in number of passenger cars if Springfield Express raises its average passenger fare to $190.00 and the estimation that the average load factor will decrease to 60%, the following calculation is provided: $3,150,000 / $120.000 = $26,250 is the break-even in passengers. 90 / 60% = 54 is the average passenger per car.
The first way to improve working capital is to make the excess liquid funds work for the company. These funds should be invested back into the company. This can be accomplished by reducing long-term liabilities with high interest rates such as the mortgages on facilities. The second is to manage the inventory held by the company. Currently Competition Bikes purchases inventory for production the month before it goes to the production line.
(20 points) MGMT 303 Week 6 Case Study Case Study This week, you will be playing the role of a senior manager whose business is growing and is considering bringing on additional staff. However, the HR manager has suggested hiring potential employees on a temp-to-perm basis. Many organizations are recruiting permanent employees using this policy. Read the case: “The Temptations of Temping.” See the case toward the end of Chapter 14. After reading the case, answer Questions 1, 2, and 3.
How should sales managers manage these changes? MKTG 420 Week 5 DQ 2 Motivation Nick Pirrone, VP of sales and marketing for Steeltime, Inc. recently invested over $250,000 in a customer relationship management (CRM) system. He has a problem, however. His 10 salespeople either do not know how to use the system or simply do not want to use it. The CRM system was to be used to move prospects through Steeltime's sales cycle more efficiently and to improve the level of customer satisfaction.
6. Question : (TCO 8) A product may be passed from one subunit to another subunit in the same organization. The product is known as 7. Question : (TCO 8) Transfer prices should be judged by whether they promote 8. Question : (TCO 8) When an industry has excess capacity, market prices may drop well below their historical average.
The net cash inflow and cash outflow are calculated using sales and production figures for the next 8 years. The unit cost from the first year is £0.89 which is the cost per mashing without depreciation and divided by 13,000 bottles. From this information provided, the cost will increase by 3.5% and also the selling price will increase by 4% every year (reference 4). These figures are based on the current rate inflation of 4% which is shown in appendix 9 The capital allowances are worked out on cased of 20% (Reference 5) and the annual investment allowance is £100,000 is available (Reference 6) in the first year which is restricted to £87,359. This figure is substrated from the acquisition giving a result of £332,641 which is the written down value.
Student Instructions Follow the steps below to complete Comprehensive Problem 2 using General Ledger software. To print these instructions, select Print from the File menu. 1. Click on the Save As toolbar button. When the Save As window appears, select the folder in the Save In drop-down list where you wish to save your data files.
Close the screenshot graphic. Open a terminal emulator window and enter the command strings necessary to do the following: 1. Open a terminal session and search for the commands having anything to do with mouse using the apropos utility. Take a screenshot of the open terminal window, which should now contain some additional output. Save the screenshot to your screenshots folder and insert it as the second slide in the Assignment3-2.ppt presentation document.
The Starr Co. just paid a dividend of $1.55 per share on its stock. The dividends are expected to grow at a constant rate of 6 percent per year, indefinitely. Investors require a return of 14 percent on the stock. a. What is the current price?