What is the expected profit on the contract

Assignment Help Financial Management
Reference no: EM131356831

1. Assume that the agreed upon price is $90,000. What is the expected profit on the contract assuming that it brings in 20 new patients. ( assume for now that no new fixed costs would be ruined)

2. Now assume that the additional patients will add $200,000 in total to the centers fixed costs. Now what is the expected profit on 20 new patients? On 40 new patients?

Reference no: EM131356831

Questions Cloud

Select two of the characteristics of learning organizations : Select two of the characteristics of learning organizations. Provide two examples that depict how these characteristics can be realized in a school setting of your choice.From the goals listed below, propose five ways that you could transition cur..
Describe the actions of the intelligent agent : Select a software package to which you have access that incorporates an intelligent agent. Describe the actions of the intelligent agent and how these actions assist in the use of this package.
Critical analysis covering the main theory elements : Presentations should be a critical analysis covering the main theory elements of the course - not just presenting a factual story - reference to corporate reports and other material is encouraged. Information can be covered in any order in the pre..
Outstanding bond issue : dillon inc has outstanding a bond issue that will mature to its 1000 par value in 15 years the bond has a coupon interest rate of 10% and pays interest annually. The required rate for this bond is 8%. what is the current yield of this bond...
What is the expected profit on the contract : Assume that the agreed upon price is $90,000. What is the expected profit on the contract assuming that it brings in 20 new patients. ( assume for now that no new fixed costs would be ruined) Now assume that the additional patients will add $200,000 ..
What training would you suggest for new leaders : Could a new leader "know" how to influence others if a person can not manage one's behavior? What training would you suggest for new leaders?
What does this dependency mean for us in the long run : I have seen people turn on the GPS to go to places that they already know how to get to or even follow it when they know that there could be a shorter path. Have you ever seen an example of this kind of dependency on technology? What does this dep..
Using the purchasing power preservation method : Your client, Steven, age 43, has come to you for assistance with retirement planning. He provides you with the following facts. Using calculations, explain to Steven why it is realistic to use a wage replacement ratio of 80%. Using the purchasing pow..
Describe control concerns under these circumstances : With an EDI system, a customer's order may be entered directly into the Order-toSales system without human intervention. Describe control concerns under these circumstances.

Reviews

Write a Review

Financial Management Questions & Answers

  Determining financial and management reporting requirements

MHC601 Accounting and Finance for Managers Assessment. Apply Accounting decision-making concepts with your company to structure your Report: Discuss the important issues in determining financial and management reporting requirements. Assess ..

  Which project should be accepted

Speedy Delivery Systems can buy a piece of equipment that is anticipated to provide an 11% return and can be financed at 6% with debt. Compute the weighted average cost of capital. Which project should be accepted?

  Prepare a financial analysis for 2008 and 2009

I need to prepare a financial analysis for 2008 and 2009 for Under Armour - http://investor.underarmour.com/investors.cfm. The financial analysis should include:-Current ratio, Quick ratio, Net profit margin, Return on investment

  Certainty to investors in the floating rate note

Consider the auction of 2-year Floating Rate Notes in April 2014. As we saw in class, the notes are priced at par and investors receive face value at maturity. Coupon interest payments are indexed to the 13-week T-bill and are made quarterly (July, O..

  Forecasted statements and ratios

Upton Computers makes bulk purchases of small computers, stocks them in conveniently located warehouses, ships them to its chain of retail stores, and has a staff to advise customers and help them set up their new computers. If sales are projected to..

  Estimate current market value of debt and equity

Hugo Boss AG is a German luxury fashion and style house that is examining its financing policy for possible changes. The firm has 8-year coupon bonds outstanding with a face value of $ 400 million and interest expenses of $18.0 million a year. Estima..

  Transaction costs and taxes

The price of ABC stock is currently $42 per share, but in six months you expect it to rise to $50. ABC does not pay a dividend. You buy a six-month call on ABC, with a strike price of $45. The option cost $200. What holding period return do you expec..

  What rate is the lender more likely to quote on the loan

You have just borrowed $100,000 to buy a condo. You will repay the loan in equal monthly payments of $804.62 over the next 30 years. What monthly interest rate are you paying on the loan? What is the APR? What is the effective annual rate on that loa..

  What is the stock price for each company

Red, Inc., Yellow, Corp., and Blue Company each will pay a dividend of $2.65 next year. The growth rate in dividends for all three companies is 5%. The required return for each company's stock is 8%, 11% and 14% respectively.  What is the stock price..

  What is the investors second years tax obligation

An investor bought 100 shares of a REIT for $54 a share and two years later sold the shares for $62. The REIT annually distributed $4.00 per share ($400) consisting of $2.00 return of capital $200), $1.20 ($120) in income and $0.80 ($80) in long-term..

  Underlying assumption of the dividend growth model

Which of the following is an underlying assumption of the dividend growth model

  Why the vix increased substantially during the credit crisis

How would you interpret a large increase in the CBOE volatility index (VIX)? Explain why the VIX increased substantially during the credit crisis.

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