Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Basic Finance Expert

1) Dime a Dozen Diamonds manufactures synthetic diamonds by treating carbon. Every diamond can be sold for= $100. Materials cost for the standard diamond is= $50. Fixed costs acquired every year for factory upkeep and administrative expenses are= $201,000. Machinery costs= $1.1 million and is declined straight-line over ten years to a salvage value of 0.

a) Determine accounting break-even level of sales in terms of number of diamonds sold?

b) Compute the NPV break-even level of sales assuming a tax rate of= 40%, a ten-year project life, and the discount rate of 10%?

2) XYZ Artifacts can make keepsakes which will be sold for= $50 each. Non depreciation fixed costs are= $2,500 per year and variable costs are= $30 per unit.

a) If project needs the initial investment of= $2,000 and is expected to last for five years and firm pays no taxes. Initial investment will be declined straight-line over five years to final value of 0, and te discount rate is= 10%. Determine the accounting and NPV break-even levels of sales?

b) What will be accounting and NPV break-even levels of sales, if firm's tax rate is= 40%?

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M915124

Have any Question? 


Related Questions in Basic Finance

Identify the two primary types of derivatives specialists

Identify the two primary types of derivatives specialists within a dealer organization ? Discuss the advantages and disadvantages of a centralized versus a decentralized risk management operation of an end user firm ? Ex ...

1 historically what types of risk were the focus of most

1. Historically, what types of risk were the focus of most firms' risk- management practices? 2. Distinguish between the motivations for purchasing insurance and the motivations for hedging marketwide sources of risk. 3. ...

The us treasury bill is yielding 185 percent and the market

The U.S. Treasury bill is yielding 1.85 percent and the market has an expected return of 7.48 percent. What is the Treynor ratio of a correctly-valued portfolio that has a beta of 1.33 and a variance of .0045? .056.069.0 ...

How much distress or pain may researchers inflict on

How much distress or pain may researchers inflict on participants who freely agree to participate in a study after being fully informed about the pain or distress they will experience?

1 how is a hazard different from a disaster2 what is the

1. How is a hazard different from a disaster? 2. What is the most frequent and widespread disaster-causing hazard? 3. What scale is commonly used to describe the effects of earthquakes? 4. How are earthquakes measured?

Consider the context-free grammara give a leftmost

Consider the context-free grammar: a) Give a leftmost derivation for the string. b) Give a rightmost derivation for the string. c) Give a parse tree for the string. ! d) Is the grammar ambiguous or unambiguous? Justify y ...

1 why is variance reduction important to logistical

1. Why is variance reduction important to logistical integration? Illustrate in terms of logistical operations. 2. What is the meaning of the phrase cradle-to-cradle logistics? Discuss the operational differences of orig ...

Use secondary sources to write a report about female

Use secondary sources to write a report about female leaders in business. 2020 Women on Boards is an organization dedicated to raising the percentage of women on corporate boards to at least 20% by the year 2020. As part ...

Question again1 interest rates the cost of money

QUESTION AGAIN #1 Interest rates, the cost of money, influence most all factors related to personal and corporate capital budgeting. The more obvious personal information for the cost of money is the rates associated wit ...

1 where is lead most likely to be found in a household2

1. Where is lead most likely to be found in a household? 2. Identify the criteria for determining existence of wetlands. 3. What happens to land containing an endangered species habitat? 4. Discuss a landowner's rights i ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen