How would you rate this company in terms of risk

Reference no: EM13835675

P12.2 comparisons of equilibrium points; Algebraic method with data on prices and costs of each of the three F, G and H, companies presented in the table, answer the following questions.

Company	F	G	H
Sale price per unit	$18.00	$21.00	$30.00
Variable operating cost per unit	$6.75	$13.50	$12.00
Fixed Operating Cost	$45,000.00	$30,000.00	$90,000.00

a) What is the operating breakeven point in units of each company?
b) How would you rate this company in terms of risk?

Reference no: EM13835675

Questions Cloud

What is dills weighted average cost of capital : “If the efficient-market hypothesis is true, the pension fund manager might as well select a portfolio with a pin.” Explain why this is not the case. What is Dill’s weighted average cost of capital (WACC). What is an estimated return that shareholder..

What are the critical issues of this case : Case Study- Mothers Work Inc. What are the critical issues of this case? Which issues should Mothers Work confront first

What are examples of external and internal change agents : What are examples of external and internal change agents

Assignment final business model and strategic plan : Assignment Final Business Model and Strategic Plan and Presentation

How would you rate this company in terms of risk : Comparisons of equilibrium points; Algebraic method with data on prices and costs of each of the three F, G and H, companies presented in the table, answer the following questions. What is the operating breakeven point in units of each company? How w..

Concept of intrinsic value : 1. Discuss the concept of intrinsic value and how it is determined. Include a real-world example.

Calculate the net present value payback profitability : Using a 4.5% discount rate, calculate the Net Present Value, Payback, Profitability Index, and IRR for each of the investment projects below (note, the inflows are for each year). Based on your calculations rank the projects and support you answer

Determine the level of sales for company : A company has a return on equity of 20 percentand a profit margin of 13 percent. The company's total debt equal $450 million and total equity equal to $550 million. Determine the level of sales for this company? (Hints: assume debt + equity = tota..

How are futures and options different in terms of the risks : How are futures and options different in terms of the risks they allow investors to protect against?

User Account

All Pages