Question
Use a new predicted earnings per share of $8 per share in the coming year for Chipotle. Using a 24% tax rate, what sales level
Use a new predicted earnings per share of $8 per share in the coming year for Chipotle. Using a 24% tax rate, what sales level in dollars is needed to achieve the $8 in earnings per share. Use the quarterly numbers released on Tuesday 4/21/2020 after 3PM (down below given). Being generous and multiplying these earnings numbers by 4 will Chipotle meet the sales number. Give me the sales number and a yes or no answer.
Revenue | $ | 1,410,772 | 100.0 | % | |||||||
Restaurant operating costs (exclusive of depreciation and amortization shown separately below): | |||||||||||
Food, beverage and packaging | 462,299 | 32.8 | |||||||||
Labor | 393,565 | 27.9 | |||||||||
Occupancy | 95,279 | 6.8 | |||||||||
Other operating costs | 210,762 | 14.9 | |||||||||
General and administrative expenses | 106,470 | 7.5 | |||||||||
Depreciation and amortization | 58,374 | 4.1 | |||||||||
Pre-opening costs | 3,566 | 0.3 | |||||||||
Impairment, closure costs, and asset disposals | 9,336 | 0.7 | |||||||||
Total operating expenses | 1,339,651 | 95.0 | |||||||||
Income from operations | 71,121 | 5.0 | |||||||||
Interest and other income, net | 2,743 | 0.2 | |||||||||
Income before income taxes | 73,864 | 5.2 | |||||||||
Benefit (provision) for income taxes | 2,524 | 0.2 | |||||||||
Net income | $ | 76,388 | 5.4 |
| |||||||
Earnings per share: | |||||||||||
Basic | $ | 2.75 | |||||||||
Diluted | $ | 2.70 | |||||||||
Weighted-average common shares outstanding: | |||||||||||
Basic | 27,792 | ||||||||||
Diluted | 28,323 |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started