Economics

Customer Question Please assist with this question #3 i do not understand. Thanks Brandywine Homecare, a not-for- internet business, had revenues of$12 million in 2007. Expenses other than derogation total 75 per centum of revenues, and dispraise outgo was $1.5million. All revenues were dispassionate in capital during the yr and all expenses other than derogation were gainful in cash. 3. chew over the comp each diverged itsdepreciation calculation procedures (still in spite of appearance GAAP) such that its depreciation expense doubled. How would this change affectBrandywines make income, total profit margin, and cashflow? Submitted: 456 old shape up and 15 hours ago. Category: Finance Value: $9 circumstance: CLOSED Accepted Answer [pic] skilled:  John speciate replied 456 days and 15 hours ago. HI, Thanks XXXXX a not-for-profit business, had revenues of$12 million in 2007. Expenses other than depreciation totaled 75 percent of revenues, and d epreciation expense was $1.5million. All revenues were collected in cash during the year and all expenses other than depreciation were paid in cash. 3.

Suppose the company changed itsdepreciation calculation procedures (still within GAAP) such that its depreciation expense doubled. How would this change affectBrandywines net income, total profit margin, and cashflow? ORIGINAL kale INCOME = 12m - 9m - 1.5m = 1.5 m REVISED NET INCOME = 12m - 9m - 3m = no income ORIGINAL PROFIT moulding = 1.5m/12m = 12.5% REVISED PROFIT MARGIN = 0m/12m = 0% There will be no refer on cashflow as depreciation in non cash economic consumption and any increase or d! ecrease in depreciation doesnot impact cash flows or company.,If you want to get a abounding essay, order it on our website: BestEssayCheap.com

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