Calculating contribution per hour

Assignment Help Finance Basics
Reference no: EM1365038

1 Joe runs a little parts shop. His hourly labor price to customers is $40 per hour and his hourly material price works out to about 25% of the hourly labor price. His hourly labor cost is about 50% of his hourly labor price, and his material cost and material price are such that he makes 25% on materials. What is his firm's contribution per hour?

2 Given EBIT = $2M, Interest cost = $800,000, tax rate = .4, number of shares = 1,000,000, and Price = $20, what is the firm's Return on Equity?

3 If the # of shares for an all equity firm = 200,000, the number of shares if the firm is half debt and half equity is 100,000, and the interest cost for the firm if it is half debt and half equity is $1,000,000, then what is the firm's breakeven EBIT? Assume that there are no taxes.

4 Firm A is 100% equity financed but is thinking of issuing debt and using the proceeds to retire 40% of its debt. Firm A's breakeven EBIT for these two capital structures is $4,000,000. If the firm's EBIT is definitely going to be $5,000,000, then Firm A's EPS will be:

5. BDJ, Inc. has 31,000 shares of stock outstanding with a market price of $15 per share. If net income for the year is $155,000 and the retention ratio is 80%, what is the dividend yield on BDJ Inc. 's stock?

 

Reference no: EM1365038

Questions Cloud

Write recursive version of array-based linear search : Write an algorithm but not code. Write a recursive version of the array-based linear search algorithm. Write a recursive version of the linked-list-based linear search algorithm."""
Major classes of society and their seven subsets : What is the role of a job evaluation committee in job evaluation and who should be included in the committee and describe the reason for the trend towards broad generic job descriptions versus narrow specific job descriptions.
What are the elements of negligence : What are the elements of negligence? How does an intentional tort differ from negligence? Provide examples. How does the strict liability doctrine apply to the practice of accounting? Provide examples.
Healthcare spending in the hospital setting : What are 3 main point about healthcare spending in the hospital setting with each main point please give an extensive explanation with an example.
Calculating contribution per hour : Joe runs a little parts shop. His hourly labor price to customers is $40 every hour and his hourly material value works out to about 25 percent of the hourly labor price.
Addresses biases and honesty at work : Show important is it to be honest with ourselves about them? How do we avoid letting them affect us at work?
Health policy issue paper : The Health Policy Issue Paper needs to address a state or federal bill/policy that has been introduced but not yet passed, or one that exists and is in need of revision OR elimination.
Write algorithm segment for locating nth successor of item : Write an algorithm or code segment for locating the nth successor of an item in a circlar linked list (the nth item that follows the given item in the list).
Why are there age requirements for political offices : What do you think the Founding Fathers of the United States determined that they needed to have different age requirements for the various offices of the government?

Reviews

Write a Review

Finance Basics Questions & Answers

  Evaluate what was the united brands net income after tax

Federal income tax: united brands corporation just completed their latest fiscal year the firm had sales - Evaluate what was the United Brands net income after tax

  Capitalization of installation and improvement

Capitalization of land, building and machinery acquired, capitalization of installation and improvement (demolition of existing structures included) and interest expense

  Semi strong form of efficient market hypothesis

How would I find the investor's profit on a short sale at $45 if covered at a price of $30 and determine the semi-strong form of the efficient market hypothesis?

  Calculate the expected price of a stock

Calculate the expected price of a stock when dividends are expected to grow at a 25 percent rate for three years, then grow at a constant rate of 5%,

  Accounts periods and basics concepts

Accounts periods and basics concepts - Multiple Choice questions and What is Sheepskin's 2006 net income using accrual accounting

  Calculate the cost-benefit ratio

The following simple present-value formula shows the effect of discounting on the cost of a public policy. In the formula, the discount rate will be set at

  Determine the contribution per unit

After spending $300,000 for research and development, chemists at Diversified Citrus Industries have developed a breakfast drink. The drink, called Zap, will provide the customer with twice the value of Vitamin C currently available in breakfast drin..

  Importance of hiring right people for specific jobs

It is significant for companies to hire the right people for jobs? What is the process for hiring the person in order to fill a specific position?

  Calculate the expected value

Assume you won the lottery and were offered a choice of either $500,000 in cash or a gamble in which you would get $1 million if a head were flipped but zero if a tail came up.

  Explanation of short positions in stock markets

What are the possible reasons for, or sources of, long run IPO underperformances? In a detailed response please explain why do firms go public?

  Investment management

I am looking for assistance in the area of services of a stock broker and estate planner. I understand that they are individuals that assist people of all income variations who are attempting to set money aside from their financial earnings to invest..

  Discuss the social responsibilities of home depot

Discuss briefly the social responsibilities of Home Depot.

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