6. How do you calculate a company s net profit margin? Your Company has an old m

Question

6. How do you calculate a company s net profit margin? Your Company has an old machine to sell. It has a salvage value of $40,000 at this moment. You sold it for $60,000. The corporate tax rate is 35%. What is the cash flow you get from sale of the machine? 7. Your credit card has a 19.99% APR. It is compounded daily, what is your EAR (Effective Annual Rate)? You must show your work 8. 9. What are the three types of financial asset? 10. You purchased a AAA bond today at 97% of its par. It matures in 2030 and has a coupon rate of 6%. What is the Yield of Maturity of this bond?

Explanation / Answer

6)

Net profit margin is arrived after deducting all expenses and taxes payable if any. Net profit margin is the net earnings available to equity and preference stockholders.

Net profit margin = Net income/Sales.

Related Questions

Navigate

• Browse (All)
• Browse 6
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.