How much will 15 increase in sales increase firms net

Assignment Help Finance Basics
Reference no: EM13478466

How much will a 15% increase in sales increase a firm's net operating income (NOI) and increase its net income (NI), if: (a) its degree of operating leverage (DOL) = 3.0, and its degree of financial leverage (DFL) = 4.0? (b) its DOL = 2.0 and DFL = 2.5?

Reference no: EM13478466

Questions Cloud

The fund had liabilities at end of the year of 1share and : consider a no-load mutual fund with a beginning of year nav of 100share and an end of year nav of 102share. during the
Compute the break-even point q for firm whose a total fixed : calculate the break-even point q for a firm whose a total fixed cost tfc 100000 product price per unit of output p
The current exchange rate today is 130 per euro1 meaning : factsa united states company x has contracted to provide a service to a european company z european company uses the
The 2011 income statement showed the : the 2010 balance sheet of marias tennis shop inc. showed long-term debt of 2.3 million and the 2011 balance sheet
How much will 15 increase in sales increase firms net : how much will a 15 increase in sales increase a firms net operating income noi and increase its net income ni if a its
Prepare andor update your professional resume and cover : overviewcreate andor update your professional resume and cover letter. your resume will reflect your current
Give an example of measuring the transaction risk of an : 1 400 words and referencesone of your newer clients is the senior lending officer of a local bank. he is new to his
You wish to invest 17445 in a mutual fund with a nav of : you wish to invest 17445 in a mutual fund with a nav of 26.03. the fund charges a front-end load of 4.50. how many
A project you are considering is expected to give benefits : a project you are considering is expected to provide benefits worth 225000 in one year. if the risk-free rate of

Reviews

Write a Review

Finance Basics Questions & Answers

  The difference between total actual overhead cost incurred

question 1 the difference between the total actual overhead cost incurred during a period and budgeted total factory

  What size interest rate change would make the institution

A bank has DA=2.5 years, DL=0.6 years, and k=89%. Assets are equal to $1.5 million. According to the duration gap model, what size interest rate change would make the institution insolvent if rates are currently 6%?

  How much will he have at the end of 35 years

Assume that Edward will earn 8.75% over the life of the IRA. How much will he have at the end of 35 years?

  What is the present value of each investment

You must choose between two passive investments. Investment A requires an initial investment of $50,000 but will return $71,000 in three years. Investment B requires an initial investment of $45,000 but will return $60,000 in two years. You choose a ..

  Calculate the expected rate of return on investments

Douglas Keel, a financial analyst for Orange Industries, wishes to determine the rate of return for two similar-risk investments, X and Y. Douglas's research indicates that immediate last returns will serve as reasonable estimates of future returns.

  Find the nominal interest rate for a debt security

find the nominal interest rate for a debt security given the following information: real rate = 2%, liquidity premiun = 2%, defalult risk premium = 4%, maturity risk premium = 3%, and the inflation premium = 3%

  What are the three markets in financial market

What are the three markets in financial market? Why is each one of them important?

  Jersey ts is preparing to sell new shares of stock to the

jersey ts is preparing to sell new shares of stock to the general public. as part of this process the firm just filed

  Expected the rates of return

Estimates the long-run future expected rates of return.

  Which of the following is true regarding bonds

Which of the following is true regarding bonds?

  What is the initial cash flow

What is the Initial Cash flow, the year 2 operating cash flows, the terminal cash flows, and the Net Present Value?

  Company''s total assets at the end of its fiscal year

How much cash did the company have at the end of its most recent fiscal year?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd