Minar Inc. reported the following results from last year's operations: Sales$5,700,000Variable expenses 3,510,000Contribution margin 2,190,000Fixed expenses 1,734,000Net operating income$456,000Average operating assets$3,000,000?At the beginning of this year, the company has a $900,000 investment opportunity with the following characteristics: Sales$1,530,000 Contribution margin ratio 60% of salesFixed expenses$810,900 ?If the company pursues the investment opportunity and otherwise performs the same as last year, the combined turnover for the entire company will be closest to:
A. 1.85
B. 2.41
C. 8.03
D. 1.46
Answer: A
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Which of the following is not a characteristic of responsible autonomy?
a. Relatively autonomous roles responsible to rules b. Everybody being equal c. Order created through strict supervision d. A detailed specification of all tasks
What is the time constraint?
Billy Hill's Still William J Hill runs a small batch artisnal bourbon distillery at a secluded location in the hills of Kentucky. He makes two products, known among his customers as Rotgut and White Lightning. The recipes for the two have been passed down in the Hill family for generations and are Rotgut: 1 bushel of corn, 3 pounds of sugar, 2 hours of cooking time. For the premium blend, White Lightning, he needs 2 bushels of corn, 2 pounds of sugar, and 3 hours of cooking time. Both recipes make enough to fill two jugs, which sell for $8 apiece for Rotgut and $12 apiece for White Lightning. A quick inventory one crisp autumn morning reveals that William has on hand 40 bushels of corn, 70 pounds of sugar, and 50 jugs. He would like to brew up a few artisnal batches, but has recently received a tip that certain agencies have taken an interest in his talents and may be paying him a visit in three days, hence he plans to restrict any brewing activity to 72 hours at most, before he retreats to his home away from home, Lubbock. William cleans his equipment, lights a fire, and ponders the objectives. Obviously the first priority is restricting himself to 72 hours of work — any more than that and he runs the risk of an extended holiday. His second priority to make enough to acquire materials for the next production run and fund his daughter's college tuition - he believes that $500 would make this production run worth his while. His third and fourth priorities are not to have too much perishable inventory, so he wants to make sure he doesn't have too many bushels of corn on hand (third priority) nor does he want too many pounds of sugar on hand (fourth priority).
Carlson, Inc. owns 80 percent of Madrid, Inc. Carlson reports net income for 2018 (without consideration of its investment in Madrid, Inc.) of $1,500,000. For the same year, Madrid reports net income of $705,000. Carlson had bonds payable outstanding on January 1, 2018 with a carrying value of $1,200,000. Madrid acquired the bonds on the open market on January 3, 2018 for $1,090,000. For the year 2018, Carlson reported interest expense on the bonds in the amount of $96,000, while Madrid reported interest income of $94,000 for the same bonds. Assuming there are no excess amortizations or other intra-entity transactions, what is Carlson's share of consolidated net income?
A. $2,064,000. B. $2,317,000. C. $2,207,000. D. $2,176,000. E. $2,066,000.
A lease is a contractual agreement between a lessor and a lessee that grants the lessee the right to use the asset for a period of time in return for cash payment(s) to the lessor.
Answer the following statement true (T) or false (F)