Management anticipates an increased working capital need of

Assignment Help Mathematics
Reference no: EM13580363

Chip's Home Brew Whiskey management forecasts that if the firm sells each bottle of Snake-Bite for $20, then the demand for the product will be 15,000 bottles per year, whereas sales will be 94 percent as high if the price is raised 13 percent. Chip's variable cost per bottle is $10, and the total fixed cash cost for the year is $100,000. Depreciation and amortization charges are $20,000, and the firm has a 30 percent marginal tax rate. Management anticipates an increased working capital need of $3,000 for the year. What will be the effect of the price increase on the firm's FCF for the year?

Reference no: EM13580363

Questions Cloud

List the sample space showing all possible sequences of red : there are three traffic lights between your house and a friends house. as you arrive at each light it may be red r
Compare the natural chemistry that takes place in the : compare the natural chemistry that takes place in the environment with the chemistry that takes place due to manmade
Use the frequency distribution table below that shows the : use the frequency distribution table below that shows the results from a survey which asked 200 households how many
Need help answeing this finance question microtech : need help answeing this finance question. microtech corporation is expanding rapidly and currently needs to retain all
Management anticipates an increased working capital need of : chips home brew whiskey management forecasts that if the firm sells each bottle of snake-bite for 20 then the demand
What are different types of separating techniques for : what are different types of separating techniques for separating salt and
A group of 49 randomly selected students has a mean age of : a group of 49 randomly selected students has a mean age of 22.4 years with a standard deviation of 3.8. construct a 98
The first area examined is the southside community a : q1. the citys transit commission wants to determine if there is a need for a change in the frequency of service over
Discuss the similarities and different between museums and : discuss the similarities and different between museums and

Reviews

Write a Review

Mathematics Questions & Answers

  Find significant difference in automobile insurance rates

is there a significant difference in automobile insurance rates in different cities of comparable size in the u.s.? to

  Use the properties of exponents to simplify the expression

Use the properties of exponents to simplify the expression.  Assume all variables represent positive real numbers.

  Explain joint frequency table which summarizes voting trends

Joint frequency table which summarizes voting trends in the most recent Presidential election, Suppose a deck of 10 cards each with a different digit from 0-9 are shuffled and a card from the top of the deck is drawn.

  The correlation between weekly sales and shelf space

The correlation between weekly sales and shelf space.

  Solve the system of equation by matrix method

Solve the system of equation by matrix method - Use augmented matrices to solve the following 2 x 2 systems of equations.

  Volume of solid and area of region

Let R be the shaded region bounded by the graphs of y=sqaure root of x, and y=e to the power of -3x, and the vertical line x=1.

  Information about functions and relations

Which of the following are functions? The last two problems, i.e., b & c, are multi part relations consider all parts when determining whether or not these relations are functions. Explain your reasoning for a, b, and c.

  Information about reflexive-antisymmetric and transitive

Which of the properties: reflexive, antisymmetric and transitive are true for the given relation? Begin your discussion by defining each term in general first and then show how the definition relates to this specific example.

  How much money will be in the savings account

A person deposited $500 in a savings account that pays 5% annual interest that is compounded yearly. At the end of 10 years, how much money will be in the savings account?

  What is their standard deduction on a 2011 joint return

During the year they made only a nominal amount of disbursements of the type that qualify as itemized deductions. What is their standard deduction on a 2011 joint return?

  To test this research participant has her brain scanned

a researcher predicts that listening to music while solving math problems will make a particular brain area more

  Annualized forward premium for british bound

The spot rate of the British pound to the dollar is 1.68 ($/£). The 180 day forward rate is $1.71, what is the annualized forward premium?

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