What is its degree of operating leverage dol

Assignment Help Accounting Basics
Reference no: EM13840084

  1. Finance Corp has fixed costs of $7 million and profits of $4 million. What is its degree of operating leverage (DOL)?
  2. Choose an industry and identify the factors that will determine its performance in the next three years. What is your forecast for performance in that time period?

Reference no: EM13840084

Questions Cloud

Obtain specific performance under uniform commercial code : When nonbreaching buyers or lessees obtain specific performance under the Uniform Commercial Code (UCC), the sellers or lessors
Cash inflows and outflows from purchasing the equipment : A firm wants the use of a machine that costs $100,000. If the firm purchases the equipment it will depreciate the equipment at the rate of $20,000 a year for four years, at which time the equipment will have a residual value of $20,000. Maintenance w..
What is typically true of corporate dividend payout rates : What is typically true of corporate dividend payout rates in the early stages of an indus- try life cycle? Why does this make sense? If the nominal interest rate is 5% and the inflation rate is 3%, then what is the real interest rate?
A three-month call option is the right to buy stock : A three-month call option is the right to buy stock at $20. Currently the stock is selling for $22 and the call is selling for $5. You are considering buying 100 shares of the stock ($2,200) or one call option ($500). a) If the price of the stock ris..
What is its degree of operating leverage dol : Finance Corp has fixed costs of $7 million and profits of $4 million. What is its degree of operating leverage (DOL)? Choose an industry and identify the factors that will determine its performance in the next three years. What is your forecast for p..
What is the current share price : Apocalyptica Corp. pays a constant $8.50 dividend on its stock.  The company will maintain this dividend for the next 11 years and will then cease paying dividends forever.  If the required return on this stock is 12 percent, what is the current shar..
Compute the overhead cost attributable to the office : Compute the overhead cost attributable to the Office Mart orders - Determine the customer margin for the OfficeMart orders under Activity-Based Costing
What will the price be in three years : The Jackson-Timberlake Wardrobe Co. just paid a dividend of $1.45 per share on its stock.  The dividends are expected to grow at a constant rate of 6 percent per year indefinitely.  If investors require a return of 11 percent on The Jackson-Timberlak..
The jackson-timberlake wardrobe co : The Jackson-Timberlake Wardrobe Co. just paid a dividend of $1.45 per share on its stock.  The dividends are expected to grow at a constant rate of 6 percent per year indefinitely.  If investors require a return of 11 percent on The Jackson-Timberlak..

Reviews

Write a Review

Accounting Basics Questions & Answers

  Estimated total audited value of the population

The 10,000 accounts receivable of DEF Company have a total book value of $120,000. A CPA has selected and audited a sample of 100 accounts with a total book value of $1,000 and an audited value of $1,200. Using the ratio estimation technique, the ..

  Assume that you hold a well-diversified portfolio that has

assume that you hold a well-diversified portfolio that has an expected return of 11.0 and a beta of 1.20. you are in

  Lakeside tours operates a large number of tours throughout

lakeside tours operates a large number of tours throughout the united states. a study has indicated that some of the

  Write a 350-word response regarding the differences between

write a 350-word response regarding the differences between the direct and indirect presentation of cash flows. why

  A company produces 1000 widgets at 10 per unit the total

a company produces 1000 widgets at 10 per unit . the total cost includes fixed cost of 5000. what is the variable cost

  A company started the year with accounts receivable of

a company started the year with accounts receivable of 15000 and an allowance for uncollectible accounts of 1500.

  Martin amp associates borrowed 5000 on april 1 2013 at 8

martin amp associates borrowed 5000 on april 1 2013 at 8 interest with both principal and interest due on march 31

  How much liability for outstanding premiums

how much liability for outstanding premiums should be recorded at the end of 2008?

  Determine the consolidated balance for land

There were no other transactions which affected the companies' land accounts during 2006. What is the consolidated balance for land on the 2006 balance sheet?

  Deferred tax asset with previous valuation account

Assume the same information as E19-14B, except that at the end of 2013, NovaSci, Inc. had a valuation account related to its deferred tax asset of $125,000.

  The customer service department of grand lakes technologies

the customer service department of grand lakes technologies asked the publications department to prepare a brochure

  What was the earnings per share

For 2010, stoneland corporation reported net income, 24,000; net sales 400,000; and average shares outstanding, 6,000. there werte no preferred stock dividends. What was the 2010 earnings per share?

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