Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
Bartleby Related Questions Icon

Related questions

Q: What is the Economic Value Added (EVA) method? Provide a definition, state a formula, and define all…
A: Economic Value Added (EVA): EVA also called economic profit is a measure of the financial…
Q: What are the Profit margins?
A: Answer: Profit margin represents a product, company or sector profitability. It nothing but the…
Q: How would you define profit planning? What is the importance of profit planning?
A: a) Profit planning is a progression of steps being taken to arrive at an ideal level of profit. Such…
Q: what are the meaning of Revenue Enhancement and Cost Saving ? and I need examples for each.
A: Revenue enhancement is the enhancement or increase in the revenue, which also leads to an increase…
Q: What formula do you use to calculate ROI?
A:
Q: Describe analyzing of profit using contribution margin.
A: The contribution margin ratio is the percentage of difference in a company's sales and variable…
Q: Describe the uses of cost-plus pricing.
A: Cost plus pricing involves adding a markup to the cost of goods and services to arrive at a selling…
Q: can you now calculate the gross profit ?
A: Gross profit can be defined as the net sales revenue earned by business over a particular period of…
Q: Describe following:* Market approach* Income approach* Cost approach
A: Market Approach:   Market approach is a method used to assess the value of an asset depending on the…
Q: Define pricing decisions.
A: Selling Price:   It refers to the price at which the product or service will be sold in the market…
Q: What is operating profitability ratio (OP)?
A: These ratios evaluate a firm’s ability to earn profits. They help the stakeholders of the company to…
Q: What is the relationship between profitability and efficiency, liquidity, investment, and efficiency…
A: (1) Financial Ratios will express financial Quantity concerning another financial ratio. (2) These…
Q: What is the meaning of contribution margin ratio? How is this ratio useful in planning…
A:
Q: Define the term make-or-buy (or outsourcing) analysis?
A: Make or buy: purchasing of goods from the outside vendors is called outsourcing.
Q: How can we determine the operating margin?
A: Operating margin refers to percentage of net operating income over the sales of the company.
Q: Define Purchase return.
A: Financial accounting is the process of recording, summarizing, and reporting all the transactions in…
Q: Determining the best approach to pricing requires a cost-benefit trade-off. Explain.
A: The best approach to pricing requires the cost benefit trade-off is explained as below, The Best…
Q: Compare and contrast the historical cost accounting model with the fair value accounting model. What…
A: The cost accounting model is a method of accounting that focuses on the measurement, analysis, and…
Q: What are the three components that can be described as the profit margin?
A: Income minus expenses gives us profit. The profit margin is the percentage of profits on sales or…
Q: How do you turn an income statement int a forecasted return? And how is it helpful?
A: Return means earn additional on invested amount. Return is a positive factor in every investment.…
Q: What is operating profit margin?
A: The operating profit is the profit earned during the year after deducting all the operating expenses…
bartleby

Concept explainers

Risk Management Techniques
Risk management is the procedure of recognizing, analyzing, monitoring, and preventing the risks and threatening factors of investments and business. Risks can arise from various factors including internal controls, market changes, natural disasters, and…
Question

How to correctly find the operating profit? Show an example please.

Expert Solution
Check Mark
Step 1

The calculation of operating profit is an important aspect of understanding the financial position of an organization. It is used in ratio analysis as well.

bartleby

Step by stepSolved in 2 steps with 1 images

See solution
Check out a sample Q&A here
Blurred answer
Knowledge Booster
Background pattern image
Finance
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.
Similar questions
SEE MORE QUESTIONS
Recommended textbooks for you
Text book image
Essentials Of Investments
Finance
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Mcgraw-hill Education,
Text book image
FUNDAMENTALS OF CORPORATE FINANCE
Finance
ISBN:9781260013962
Author:BREALEY
Publisher:RENT MCG
Text book image
Financial Management: Theory & Practice
Finance
ISBN:9781337909730
Author:Brigham
Publisher:Cengage
Text book image
Foundations Of Finance
Finance
ISBN:9780134897264
Author:KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:Pearson,
Text book image
Fundamentals of Financial Management (MindTap Cou...
Finance
ISBN:9781337395250
Author:Eugene F. Brigham, Joel F. Houston
Publisher:Cengage Learning
Text book image
Corporate Finance (The Mcgraw-hill/Irwin Series i...
Finance
ISBN:9780077861759
Author:Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:McGraw-Hill Education
SEE MORE TEXTBOOKS