subject
Business, 15.11.2019 20:31 0gNanaa

Mountain recreation, inc. is considering a new product line. the company currently manufactures several lines of snow skiing apparel. the new products, insulated ski bikinis, are expected to generate sales of $1.2 million per year for the next five years. they expect that during this five-year period, they will lose about $150,000 each year in sales on their existing lines of longer ski pants. the new line will require no additional equipment or space in the plant and can be produced in the same manner as the apparel products. the new project will, however, require that the company spend an additional $50,000 per year on insurance in case customers sue for frostbite. also, a new marketing director would be hired to oversee the line at $75,000 per year in salary and benefits. because of the different construction of the bikinis, an increase in inventory of $9,000 would be required initially. if the marginal tax rate is 35%, compute the incremental after tax cash flows for years 1-5.a) $537,500 per yearb) $625,000 per yearc) $634,500 per yeard) $601,250 per year

ansver
Answers: 1

Another question on Business

question
Business, 22.06.2019 01:30
The gomez company, a merchandising firm, has budgeted its activity for december according to the following information: • sales at $500,000, all for cash. • merchandise inventory on november 30 was $250,000. • the cash balance at december 1 was $20,000. • selling and administrative expenses are budgeted at $50,000 for december and are paid for in cash. • budgeted depreciation for december is $30,000. • the planned merchandise inventory on december 31 is $260,000. • the cost of goods sold represents 75% of the selling price. • all purchases are paid for in cash. the budgeted cash disbursements for december are:
Answers: 3
question
Business, 22.06.2019 12:00
Which of the following is one of the advantages primarily associated with a performance appraisal? (a) it protects employees against discrimination on the basis of race. (b) it motivates employees to work on their shortcomings. (c) it encourages employees to play the role of the whistle-blower. (d) it accurately measures the resources of the firm.
Answers: 2
question
Business, 22.06.2019 19:10
Below are the steps in the measurement process of external transactions. arrange them from first (1) to last (6). event step post transactions to the general ledger. assess whether the transaction results in a debit or credit to account balances. use source documents to identify accounts affected by an external transaction. analyze the impact of the transaction on the accounting equation. prepare a trial balance. record the transaction in a journal using debits and credits.
Answers: 3
question
Business, 22.06.2019 21:30
Consider the following three bond quotes; a treasury note quoted at 87.25, and a corporate bond quoted at 102.42, and a municipal bond quoted at 101.45. if the treasury and corporate bonds have a par value of $1,000 and the municipal bond has a par value of $5,000, what is the price of these three bonds in dollars? multiple choice $872.50, $1,000, $1,000, respectively $1,000, $1,024.20, $1,001.45, respectively $872.50, $1,024.20, $5,072.50, respectively $1,000, $1,000, $1,000, respectively
Answers: 3
You know the right answer?
Mountain recreation, inc. is considering a new product line. the company currently manufactures seve...
Questions
question
Mathematics, 18.03.2021 18:10
question
Health, 18.03.2021 18:10
question
Computers and Technology, 18.03.2021 18:10
Questions on the website: 13722363