Ministry of Magic Building_Solution

Commodity markets -purchase 30.000,00 Wage of the staff 10.000,00 Depreciation of fixed assets 6.000,00 Premiums 1.000,00 Advertising and promotion 800,00 Overhead cost 4.000,00 Revenue from sales 250.000,00 Income from investments and investments 15.000,00 Gains from disposal of property, plant and equipment 500,00 Loss from disposal of financial data 100,00 Rental income 50.000,00 Third party fees 2.500,00 Credit interest 1.400,00 Debt interest 4.500,00 Fixed maintenance costs 2.000,00     Considering that:   a) the stocks 1.1.20X0 were 5000 €   b) the final stock on 31.12.20X0 was determined by physical inventory at 3000 € (c) the income tax rate is 30%;   compile the 20X0 income statement, vertical by type.

Selected data from an investment center of IROL Inc. follow:Sales $8,000,000Net book value of assets, beginning 2,500,000Net book value of assets, ending 2,600,000Net operating income 640,000Minimum rate of return 12%Required1. Calculate return on sales (ROS), asset turnover (AT), and return on investment (ROI).2. Calculate residual income (RI).

Calculate the overall capitalization rate: sale price: $973, 639 potential gross income: $ 199, 188 vacancy and collection losses: $29,912 operating expenses: $47, 400 Report your answer as %. Given the following information, calculate the net operating income assuming above-line treatment of capital expenditures: property: 6 office units contract rents per unit: $2, 250 per month vacancy and collection losses: 17% operating expenses: $ 49,000 capital expenditures: $4, 500 Your Answer:

Sales : $250,000Costs : $134,000Depreciation : $10,200Operating expenses : $6,000Interest expenses : $20,700Taxes : $18,420Dividends : $10,600Addition to Retained Earnings : $50,080Long term debt repaid : $9,300New Equity issued : $8,470New fixed assets acquired : $15,000 You are required to:iv) Calculate the cash flow from assets v) Calculate net capital spending vi) Calculate change in NWC

Consider the following financial information and answer the questions that follow:Sales : $250,000Costs : $134,000Depreciation : $10,200Operating expenses : $6,000Interest expenses : $20,700Taxes : $18,420Dividends : $10,600Addition to Retained Earnings : $50,080Long term debt repaid : $9,300New Equity issued : $8,470New fixed assets acquired : $15,000     1) Calculate the cash flow from assets 2) Calculate net capital spending 3) Calculate change in NWC    PLEASE TYPE AS OPPOSED TO WRITING ON PAPER. I MIGHT NOT UNDERSTAND THE HAND WRITING. PLEASE DO EACH QUESTION SEPARATELY. I HAVE ASKED THIS QUESTION MULTIPLE TIMES BECAUSE I COULD NOT UNDERSTAND THE RESPONSE. THANK YOU

INCOME STATEMENT Hermann Industries is forecasting the following income statement:Sales $8,000,000Operating costs excluding depr. & amort. 4,400,000EBITDA $3,600,000Depreciation & amortization 800,000EBIT $2,800,000Interest 600,000EBT $2,200,000Taxes (40%) 880,000Net income $1,320,000The CEO would like to see higher sales and a forecasted net income of $2,500,000. Assumethat operating costs (excluding depreciation and amortization) are 55% of sales and thatdepreciation and amortization and interest expenses will increase by 10%. The tax rate, whichis 40%, will remain the same. What level of sales would generate $2,500,000 in net income?

Prepare the Pro-Forma Statement of Financial Position for the year ending 31 December 2023  INFORMATIONSibiya ProjectsStatement of Comprehensive Income for the year ended 31 December 2022 RSales 10 000 000Cost of sales (5 750 000)Gross profit 4 250 000Variable, selling and administrative costs (1 500 000)Fixed selling and administrative costs (500 000)Net profit 2 250 000 Statement of Financial Position for the year ended 31 December 2022ASSETS RNon-current assets 800 000Property, plant and equipment 800 000 Current assets 3 400 000Inventories 1 600 000Accounts receivable 600 000Cash 1 200 000TOTAL ASSETS 4 200 000 EQUITY AND LIABILITIESEquity 3 760 000 Current liabilities 440 000Accounts payable 440 000TOTAL ASSETS AND LIABILITIES 4 200 000 Additional informationA. The sales budget for 2023 is as follows:First Quarter Second Quarter Third Quarter Fourth QuarterR2 625 000 R2 750 000 R2 875 000 R2 750 000 B. 90% of sales is collected in the quarter of the sale and 10% in the quarter…

Assume that a company has the following data: EBIT=1,200 EBITDA Margin=9.4% Tax rate 39% Net PP&E=2680 Net Working Capital=812 Sales = 14351 Depreciation and Amortization=376 Stores=400 Calculate Return on Capital (or ROIC)  Please show your work.

Margin, Turnover, Return on Investment Pelak Company had sales of $5,003,000, expenses of $4,607,000, and average operating assets of $4,840,000. Required: 1.  Compute the operating income.$ 2.  Compute the margin (as a percent) and turnover ratio. If required, round your answers to one decimal place. Margin % Turnover   3.  Compute the ROI as a percent. Use the part 2 final answers in these calculations and round the final answer to two decimal places.%

Statement of Comprehensive Income for Brooklyn Company for the current year isSales P750,000Variable cost 600,000Contribution margin 150,000Fixed cost 100,000Operating income P50,000Required:d. Degree of operating leveragee. Suppose the company experiences a 30% increase in revenues, compute for thepercentage change in profits.

Credit Rop = 15,00,000/-; Cash Rop is 25% of Rop; liquid asset 2,00,000/-; Inventory1,00,000/-; Current liability 1,20,000/-; Working capital turnover ratio will be

V. A company’s contribution format income statement for the previous follows: AmountSales P300,000Variable expenses 120,000Contribution margin 180,000Fixed expenses 108,000Net operating income P72,000 Required:a. Compute the company’s degree of operating leverage.     b. Using the computed degree of operating leverage, estimate the effect on net operating income of a 5% increase in sales.       c. Prepare an income statement using contribution format to verify your answer in (b)

Based on the pro - forma income statement, please estimate OCF and complete the tables. Sales 125,000 Variable costs -29, 000 Fixed costs -30,000 Depreciation -12,800 EBIT 53, 200 Tax -18, 620 NI 34, 580 Enter your final answers as whole numbers without using 1000 separators. Use a " -" sign for cash costs, expenses, cash outflows. (1) Starting from EBIT EBIT + Depreciation - Tax OCF? = OCF What is EBIT? What is Depreciation? What is Tax? What is

Brad’s BBQ reported sales of $735,000 and net income of $28,000. Brad’s also reported ending total assets of $496,000 and beginning total assets of $389,000.Required:Calculate the return on assets, the profit margin, and the asset turnover ratio for Brad’s BBQ.

DATA FOR TOWER HILL DIVISION Revenue 10, 000Fixed Asset:Purchases by division 500Purchases by Head Office 2,500Direct Material and Labour Costs (variable) 6,000Indirect Labour (Consolidate fixed overhead) 1000Divisional Manager’s Salary 400Apportioned Head Office Costs 600Depreciation on fixed assets 20%Company’s cost of capital 10%Assuming that fixed assets comprise the total investment in Tower Hill Division. You are required to determine the following:(i). Variables(ii). Controllable profit (iii). Direct profit (iv). Controllable residual profit (v). Net residual profit

Assume average net operating assets equal $1,000,000. The average book value of common equity equals $750,000. Assume sales for the period total $3,000,000. Assume opening income totals $150,000 and net borrowing costs (cost of debt) is 3%. Solve for the net financing expenses

Statement of Comprehensive Income for Brooklyn Company for the current year isSales P750,000Variable cost 600,000Contribution margin 150,000Fixed cost 100,000Operating income P50,000Required:a. Break-even pointb. Margin of safetyc. Margin of safety ratiod. Degree of operating leveragee. Suppose the company experiences a 30% increase in revenues, compute for thepercentage change in profits.

Q6   Selected data from Box Division's accounting records revealed the following:   Sales $ 825,000 Average investment $ 440,000 Net operating income $ 66,000 Minimum rate of return (divisional cost of capital) 14%   Box Division's asset turnover (AT) is calculated to be: (Round your answer to three decimal places.)   Multiple Choice   4.270.   1.070.   1.875.   12.500.   1.625.

REQUIRED Calculate the working capital cycle of Provalis Limited.   INFORMATION   The following financial information is provided by Provalis Limited                                             R Sales (all credit) 8 000 000 Cost of Sales 5 600 000 Purchases (60% on credit) 7 000 000 Accounts Receivable 1 800 000 Accounts Payable 1 200 000 Inventory 900 000

Global Imex has two divisions; one located at Accra and the other in Takoradi.The following is an extract from the annual report for the 2010 financial year     ACCRA TAKORADI Profit Before Depreciation 450,000 620,000 Depreciation 120,000 130,000 Non Current Assets 1,200,000 1,300,000 Current Assets 750,000 1,000,000 Current Liabilities 350,000 400,000 Cost of Capital is 20% Required (i) Using Return on Investment (ROI) and Residual Income, comment on the performance of the divisions.(ii) The Takoradi branch intends to sell one of the non-current assets with book value of GH¢120,000. This asset generates a profit of GH¢60,000. Accra also wants to acquire another asset costing GH¢90,000 that will generate a profit of GH¢40,000. To what extent will the decisions affect the performance of the divisions?

57) Overcharge Card reports that following amounts: Sales = $3,000,000; Cost of GoodsSold = $1,200,000; Depreciation Expense = $140,000; Administrative Expense =$270,000; Interest Expense = $70,000; Marketing Expense = $60,000; and Taxes=$80,000. What is Overcharge’s operating income?

Multiple Choice MC.05-51   In 2014, Dallas Company had sales of $600,000; cost of sales of $430,000; interest expense of $12,000; and a gain on the sale of a component of $52,000; For its income statement, Dallas uses the single-step format and the all-inclusive concept. What was Dallas's reported pretax income from continuing operations?   *$158,000 *$170,000 *$118,000 *$150,000

Total sales 100,000; Returns sales 10,000; Total assets 500,000; Aggregate depreciation 50 thousand, the amount in dollars, calculate the turnover rate of operating assets Select one: a. 0.50 b. 0.20 c. 2.2 d. 300,000

Calculating ROA Using the Dupont Financial System. The following Accounts are included in Marks financial statements:Cash $15,000, Revenue 2,200,000, Current assets $400,000, Prepaid expenses $43,500 Non-current assets $1,500,000, Trade receivables $157,000, Depreciation/amortization $25,000, Cost of sales $1,700,000, Distribution costs $165,000

Revenues 800,000Income from continuing operations 100,000Comprehensive income 120,000Net income 90,000 Income from operations 220,000Selling and administrative expenses 500,000Income before income tax 200,000Required: Calculate the following: i. Other income and expenses ii. Financing costs iii. Income tax iv. Discontinued operations v. Other comprehensive income