Assuming the following: (1) the sales price for each CompuTech product sold is $50; (ii) each product sold costs $25 in Raw Material components, and the business Fixed cost is as determined in your Income Statement. Q1: What is the BE in units for Computech in 2021? 02 What impact would occur to the BE if the variable cost of materials rose by 10% during the year? Q3. if the overall market for computer products in CompuTech's market area is 3,000 units what share of the market does its BE (01) represent? What share of the market does CompuTech's unit sales in 2021 represent? Q4: If CompuTech were to hire a Sheridan student (annual cost for Part Time service $20,000 per year) to help in the marketing of Computech, what would the impact be on the company's BE? Q5: If the Sheridan student could impact unit sales by 20% growth, would their hiring be justified? Explain With the following information for 2022 prepare a pro-forma Income Statement for the year ending December 31, 2022, and then, calculate Computech's la) income before taxes, (b) contribution margin and (c) PV ratio. RM Purchases:$205,000 Freight in 4,000 Sales Salaries 60,000 Commissions: 3,000 Q6 investors to make the greatest returns MODULE 1: Larry and lanice intend to invest $200,000 in the business. Their financial projections show that during the first year of operations their business could generate $25,000 in profits. Subsequent years could grow well beyond this level. The couple could borrow on a long term basis $100,000 from the bank (6%) and they could use $100,000 of their savings (which were currently generating return Q1: With the above info what is CompuTech's projected return on investment in year 1? What Is the cost of capital? 02: Should the couple launch their business based on your answer to 01? Why or why not? 03 small business is taxed 33% what is the business' Weighted cost of Capital? HD 1080 acer no 5 3E 4 0 6 S W 8 7 E R 8 T 2 9 3 Oye Y A U S T D 0 P G 5 5 X K C V B N M Assuming the following: (1) the sales price for each CompuTech product sold is $50; (ii) each product sold costs $25 in Raw Material components, and the business Fixed cost is as determined in your Income Statement. Q1: What is the BE in units for Computech in 2021? 02 What impact would occur to the BE if the variable cost of materials rose by 10% during the year? Q3. if the overall market for computer products in CompuTech's market area is 3,000 units what share of the market does its BE (01) represent? What share of the market does CompuTech's unit sales in 2021 represent? Q4: If CompuTech were to hire a Sheridan student (annual cost for Part Time service $20,000 per year) to help in the marketing of Computech, what would the impact be on the company's BE? Q5: If the Sheridan student could impact unit sales by 20% growth, would their hiring be justified? Explain With the following information for 2022 prepare a pro-forma Income Statement for the year ending December 31, 2022, and then, calculate Computech's la) income before taxes, (b) contribution margin and (c) PV ratio. RM Purchases:$205,000 Freight in 4,000 Sales Salaries 60,000 Commissions: 3,000 Q6 investors to make the greatest returns MODULE 1: Larry and lanice intend to invest $200,000 in the business. Their financial projections show that during the first year of operations their business could generate $25,000 in profits. Subsequent years could grow well beyond this level. The couple could borrow on a long term basis $100,000 from the bank (6%) and they could use $100,000 of their savings (which were currently generating return Q1: With the above info what is CompuTech's projected return on investment in year 1? What Is the cost of capital? 02: Should the couple launch their business based on your answer to 01? Why or why not? 03 small business is taxed 33% what is the business' Weighted cost of Capital? HD 1080 acer no 5 3E 4 0 6 S W 8 7 E R 8 T 2 9 3 Oye Y A U S T D 0 P G 5 5 X K C V B N M
