ABC Ltd. firm has a sales of Rs.6 crores, Variable cost Rs.
3.5 crores and Fixed cost of Rs. 0.65 crores.
The firm has debt and equity resources worth of Rs.7 crores
and 10 crores respectively. With the
data given show :
(i) The firm’s ROI.
(ii) EBIT if sales decline to Rs.4 crores.
(iii) If the industry’s assets turnover is 4 times, does the
firm has high or low asset turnover? The
cost of debt is 12%. Ignore taxation.
Answer / chirag patodi
Sales 6.0
Less: Variable Cost 3.5
Contribution 2.5
Less: Fixed Cost 0.65
EBIT 1.85
Less: Interest 0.70
EBT 1.15
Total Investment = Debt + Capital = 7 + 10 = 17 crores
(i) Return on Investment (ROI) =
1.85/17= 10.88%
| Is This Answer Correct ? | 10 Yes | 0 No |
what is exercise duty how to calculate that and how to update in tally
what is term loan?
What is Quick Book ?
intorduse your self ? what to say if iam fresher.
Expand NSDAQ ?
Choose the right answer when a customer directly deposits in our Bank towards his dealership deposit we have to debit 1.Customer 2.dealershiip deposit 3.Bank
What is the latest ralte of TDS on contractors or professional ?
bill to addres? ship to addres? rimit to address?
I am going for interview in Cross domain for Finance & Accounts opening. If any one having any question paper or question that might be asked in interview pls send me on my mail id -ruchi_singh759@rediffmail.com, or here.
EXPAND______________IFC
I have scooter , and its insurance expired for the past 1 yrs and i need to renew it ? how to , explain?
How can i download International accounting Standards (IAS ) (41) from the internet in PDF format .Please can u tell me site name.