What is the profit on new sales

Assignment Help Finance Basics
Reference no: EM13265215

Price Corp. is considering selling to a group of new customers and creating new annual sales of $320,000. 3% will be uncollectible. The collection cost on these accounts is 4% of new sales, the cost of producing and selling is 79% of sales and the firm is in the 26% tax bracket. What is the profit on new sales?

Reference no: EM13265215

Questions Cloud

Determine the corresponding change in photon energy : X rays of wavelength 0.0196 nm are directed in the positive direction of an x axis onto a target containing loosely bound electrons. determine the corresponding change in photon energy
What is the expression for the magnetic field intensity h : A uniform surface current density of Js(r) = Jo*sin(/phi)(/phi hat) A/m (Jo is a constant) is spread over a disc defined by 0
How much is the target cost per unit : The company requires a profit of 0.19 of selling price. How much is the target cost per unit?
Briefly distinguish between global and regional products : The America-First Corporation was one of the innovators of videotape recorders and compact disc technology. Now, however, the firm no longer produces or sells either product.
What is the profit on new sales : The collection cost on these accounts is 4% of new sales, the cost of producing and selling is 79% of sales and the firm is in the 26% tax bracket. What is the profit on new sales?
A legal concept is relevant to the scenario : Explain how constructive discharge as a legal concept is relevant to the scenario.
What does shift register contains after three clock pulses : An 8 bit shift register is configured so that the output of the least significant bit is fed back to the input of the most significant bit. If the register has an initial state of 11010001, what does the shift register contains after three clock p..
Find the final pressure and temprature : Nitrogen at 5 X 10^5 Pa and 80 degrees C is on one side of a partition, occupying 1/3 of the volume of a 1.2 m^3 container. find the final pressure and temprature
Calculate the payback period : The new clubs will also require an increase in net working capital of $1,300,000 that will be returned at the end of the project. The tax rate is 32 percent, and the cost of capital is 10 percent.

Reviews

Write a Review

Finance Basics Questions & Answers

  What is the present value

A 20-year annuity pays $1,300 per month, and payments are made at the end of each month. If the interest rate is 11 percent compounded monthly for the first ten years, and 7 percent compounded monthly thereafter, what is the present value of the a..

  Finding mortgage rates

If mortgage rates increase from 5% to 10%, but the expected rate of increase in house prices increases from 2% to 9%, are people more or less likely to buy houses? ( Show your work to receive full credits).

  Risk-free covered interest arbitrage

Critically discuss the transactions you would make to earn the risk-free covered interest arbitrage profits. How much profit would you expect to make?

  Find the number of days to pay suppliers

Pennington's has yearly sales of $1.46 million. The cost of goods sold is equal to 78% of sales. The company has an average accounts receivable balance of $148,900 & an average accounts payable balance of $163,500.

  Determine stock price

CK's earnings and dividends will grow at .5 percent monthly for next five years. After that the growth will stop. For year sixnd afterward, it will pay out all earnings as dividends.

  The three company legal structures

Do not define the work with the word. Do not give examples (points deducted for examples). Limit response to no more than 2 sentences.

  Compute companys current stock price

The Francis Corporation is expected to pay a dividend of $1.25 per share at the end of the year, and that dividend is expected to increase at a constant rate of 6 percent per year in the future.

  Optional sources of energy

Optional sources of energy are being discussed as part of the national debate. One of the sources is wind power. You may look into a search engine of your choice for articles on wind power.

  What is the equilibrium price of the stock

If your estimate of the company's required rate of return on its stock is 10%, what is the equilibrium price of the stock?

  Determine purchased during the third quarter

A manufacturing corporation manufactures a product called Formido. Each unit of Formido requires two pounds of Lima. The budget calls for production of 8,000 units of Formido during the third quarter.

  Present value of stream of annuity payments

Assume you're to receive the stream of annual payments (also called an "annuity") of $9000 every year for 3 years starting this year. What is the present value of these three payments?

  Making financial decisions

Jim Brock was an accountant with Hubbard Company, a big company with stock that was publicly traded on the NYSE. One of Jim's duties was to manage the corporate reporting section.

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