Falcone Company Has a Sales Margin of 12%,a Target Rate

question 90

Multiple Choice

Falcone Company has a sales margin of 12%,a target rate of return of 10%,and capital turnover of 3.0.The sales in dollars for Falcone Company would be closest to:

• A)$ 8,640.
• B)$ 24,000.
• C)$216,000.
• D)$600,000.

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Definitions:

Traded Stock

Shares of a company that are bought and sold in public markets, such as stock exchanges, representing ownership interests in the corporation.

Callable Bond

A type of bond that gives the issuer the right to repay the bond before its maturity date at a predetermined price.

Buy Back

The process by which a company repurchases its own shares from the marketplace, reducing the amount of outstanding stock.

Maturity

The time at which a financial instrument (such as a bond, loan, or investment) becomes due for payment or expires.