Question
e) Dhinny Corp is a manufacturer of BBQ's.Many people enjoy a good piece of meat and are willing to pay a premium for their products.Each
e) Dhinny Corp is a manufacturer of BBQ's.Many people enjoy a good piece of meat and are willing to pay a premium for their products.Each BBQ sells for $425 and it only costs $190 to produce these products.This year the company sold 5,000 units, it had $190,000 CCA with a tax rate of 45%. What is the company's operating cashflow.?
g) Anyone can calculate financial ratios, the real value added is the interpretation. In a brief paragraph what should a Financial Analyst keep in mind when evaluating the financial statements of a company?
h) Describe the Payback criterion decision rule.What are the advantages of this evaluation method and are there any circumstances under which using payback might be appropriate? Explain.
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