Earnings before interest and taxes

ACC/545 final 45 out of 45 correct 1) A company changes from percentage-of-completion to completed-contract, which is the method used for tax purposes. The entry to record this change should include a | A. debit to Retained Earnings in the amount of the difference on prior years, net of tax. | | B. debit to Loss on Long-Term Contracts in the amount of the difference on prior years, net of tax. | | C. credit to Deferred Tax Liability. | | D. debit to Construction in Process. |…

The company’s total assets are 190,554,000,000. Ford’s debt to equity ratio is 10.95 which is due to the capital intensive nature of the automotive industry. For 2012, Ford’s net income was 5,665,000,000 which indicates the company is currently 75% less than the over $20 billion profit in 2011. Additionally, the cash flow from investing activities has decreased from $6.9 billion in 2010 to -$14 billion in 2012. Short-term debt has increased in the last couple of years, it is still nearly 50% of…

Acme Products, Inc., requires a new machine to produce a part for a heat generator. Two companies have submitted bids, and you have been assigned the task of choosing one of the machines. Cash flow analysis indicates the following: Year Machine A Machine B ---- --------- --------- 0 -$1,000 -$1,000 1 0 417…

Among the main factors proposed as rationale for mergers, from the society’s point of view the most justifiable factor is synergy. Synergy refers to the economic benefit which could be achieved through the merger of companies and is often considered as the major driving force for a merger. With synergy the post merger share price of the company increases and shareholders will benefit. The synergy from the merger could be attributed to a handful of factors, such as increase in revenue,…

had started to decline from Rs. 52427 Lacs to Rs.35, 587 Lacs from previous to current year (i.e. 28.31% decline). Other income also saw a significant downfall to Rs. 355 Lacs in the current year from Rs. 1,340 Lacs in the previous year. Profit before Interest, Depreciation and Tax has started to show improvement to Rs. 4,278 Lacs in the current year as compared to Rs. 4,176 Lacs in the previous year. However, the Finance-Cost has increased…

for majority of the people than any centuries before. In fact, more than half of the American citizens do not have an opportunistic world anymore in which it offers equal, economical advantages unlike previous centuries such as the 1970s that begins to show a decline in opportunities. Equality is ‘the quality or state of being equal: the quality or state of having the same rights, social status, etc.” (Merriam- Webster). In the discussion…

• 26 of P&G based brands like tide, bounty, and crest are earning more then a billion dollars in net annual sails. • P&G’s stock price is recorded at $83.4/share. • The number of shares of common stocks outstanding for Proctor & Gamble are 2,700,509,874 stocks. P&G SWOT Analysis: - Strengths: • Time tested and…

That being said, the bank currently has no long-term debt, which is obviously favorable because the longer you don’t pay the debt, the more interest builds on it. Owner’s equity on the balance sheet started at 49.458 at the end of the first quarter (3/31/19) and managed to stay pretty much the same as it ended at 47.594 during the last quarter (12/31/19). This is favorable because this means…

Sales Costs and expenses: COGS excluding depreciation Depreciation Selling/administrative expenses Other expenses Total costs Net operating income (EBIT) Interest Earnings before taxes (EBT) Taxes (40%) Net income before preferred dividends Dividends to preferred Net income available to common Dividends to common Additions to retained earnings $650.0 540.8 22.9 9.8 3.3 $576.7 $ 73.3 10.3 $ 63.0 25.2 1995 $589.0 1996 $572.0 AR LE $ 61.5 13.8 $ 47.6 19.1 $ 48.8 14.5 AG NG CE $ 4…

The costs to start a new company would be limited and there would be a readily accessible building, contacts, product knowledge, market knowledge, and increased earnings per share. Not all employees will be able to retain their job, however the employees that remain will be the most knowledgeable regarding the product to boost sales and revenue. This will help the company attain the success it hopes to achieve…