Calculate an EBIT break-even between a debt firm (DF) and an all-equity firm (EF) based on the following information: DF interest = $60,000, DF number common shares = 5,000, EF number of common shares = 12,000, and tax rate = 40 percent
A) EBIT = $234,547 and EPS = 10.35
B) EBIT = $146,312 and EPS = $7.02
C) EBIT = $102,857 and EPS = $5.14
D) EBIT = $91,217 and EPS = $4.18
C
Explanation: C) (EBIT-0)(1-t)/n = (EBIT - I)(1-t)/n = (EBIT-0)(.60)/12,000 = (EBIT - $60,000)(.60)/5,000
EBIT = $102,857 and EPS = $5.14.
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For each of the following documents, describe its purpose, the functional area preparing it, and the key data included: remittance advice, remittance list, deposit slip
Scenario 8.2
Use the following to answer the questions. Precision Brake Company is a supplier of brake components to the manufacturers of lawn tractors and 4-wheel ATVs. It also sells its products to independent repair centers, dealers, and other wholesalers in Northeast and Southern states. Precision Brake has done research on the demand for lawn tractors and found that most manufacturers are in the states of Kentucky, Tennessee, and Alabama. Research also shows that most of the dealers who sell directly to individual consumers are in the Midwestern states, while dealers who sell to small business landscaping companies tend to be located in the Northeastern states. Company executives are considering expansion of its distribution to markets in the Midwest. Refer to . When Precision Brake's sales team calls on tractor manufacturing companies, the meetings typically include the engineers who design the tractors. In this situation, the engineers would most likely be considered to be ____, part of the buying center. A. gatekeepers B. influencers C. users D. buyers E. controllers
Vince has begun forgetting things and is becoming very difficult to get along with. He is 85, has been ill, and is very fond of his housekeeper Annie. He gives a deed to Annie for all of his real property. At Vince's death, his children, who got only his photograph albums according to the will, ask that the deed be set aside and the land be put back in the estate for purposes of division among
all the children. What will be the probable result in this case? a. Since Vince was 85 he was probably incompetent and the court would rule for the children. b. Clearly Annie used her position of dominance to persuade Vince to deed her the property, and it will be set aside. c. Unless the children can prove that Vince was unable to understand what he was doing, or that Annie used her position to improperly influence Vince, Annie can keep the property. d. Annie will not be able to keep the property since she is not a family member.
_______ is a strategic-alliance-based approach to controlling inventory and reducing costs.
Fill in the blank(s) with the appropriate word(s).