Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Basic Finance Expert

problem: Jaques Systems Engineering provides consulting services to city water authorities. A recent income statement revealed variable costs of dollar 740.000 on a sales level of $1,000,000. Yearly fixed costs are $200,000, & the company's income tax rate is 35%.

Required

[A] Compute the firm's break-even volume of service revenue.

[B] Find how much before-tax income must the firm earn to make an after-tax net income of dollar 100,000?

[C] Find, what level of revenue must the firm create to earn an after-tax net income of dollar 100,000?

[D] Assume the company's income tax rate rises to 40%. What will happen to the breakeven level of consulting revenue?

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M920494

Have any Question? 


Related Questions in Basic Finance

1 what is the law of one price how is it related to the

1. What is the law of one price? How is it related to the theory of purchasing power parity (PPP)? 2. Is PPP a theory of exchange rate determination in the long run or in the short run? 3. According to the theory of purc ...

Each of the following research designs has a potential

Each of the following research designs has a potential threat to the internal validity of the research. For each, indicate what the confounding variable is and how it might have been eliminated. a. The Pepsi-Cola Company ...

Actions for cash flow and capital budgetingwhat countryies

Actions for 'Cash Flow and Capital Budgeting' What country(ies) do you think is(are) presently attractive for U.S. corporations seeking foreign direct investment opportunities? Take into account any geopolitical/economic ...

The unemployment rate in a city is 12 if 9 people from the

The unemployment rate in a city is 12%. If 9 people from the city are sampled at random, find the probability that fewer than 2 of them are unemployed. Carry your intermediate computations to at least four decimal places ...

1 pessimists commonly claim that if you drop a piece of

1. Pessimists commonly claim that, if you drop a piece of buttered bread, it will probably land butter-side down. Identify the mode of inquiry (authority, rational, empirical) you would use to evaluate this claim, and br ...

The us express reported that the color distribution for

The US Express reported that the color distribution for plain M&M's was: 40%brown, 20% yellow, 20% orange, 10% green, and 10% tan. Each piece of candy in a random sample of 100 plain M&M's was classified according to col ...

Suppose that the dow jones industrial average is above the

Suppose that the Dow Jones Industrial Average is above the 10,000 level. If the Dow were to fall to 6,000, who would gain the most: investors who had bought call options, investors who had sold call options, investors wh ...

Starz inc pays a constant dividend of 16 for next 18 years

STARZ INC pays a constant dividend of $16 for next 18 years then will stop paying dividends forever. If investors require a return of 8.3% on this stock, what is the value of the STARZ stock? Write in the value with two ...

1 how can strategic procurement contribute to the quality

1. How can strategic procurement contribute to the quality of products produced by a manufacturing organization? 2. Explain the rationale underlying volume consolidation. What are the risks associated with using a single ...

The following two statements were posted on a web site

The following two statements were posted on a web site (www.inter fluidity.com) in a discussion of agency costs and leveraged investment funds. Leveraged investment funds are funds such as a hedge funds that borrow a con ...

  • 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

WalMart Identification of theory and critical discussion

Drawing on the prescribed text and/or relevant academic literature, produce a paper which discusses the nature of group

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