Business, 02.06.2020 14:57 hannmq4179

In its 2015 fiscal year annual report, Texas Roadhouse reports net operating income after tax (NOPAT) of $102,495 thousand. As of the beginning of fiscal year 2015 it reports net operating assets of $596,104 thousand.

a. Did Texas Roadhouse earn positive residual operating income (ROPI) in 2015 if its weighted average cost of capital (WACC) is 7%. Explain

1. TXRH earned a negative ROPI because the realized NOPAT exceeds the expected NOPAT.
2. TXRH earned a positive ROPI because the realized NOPAT was less than the expected NOPAT.
3. TXRH earned a positive ROPI because the realized NOPAT exceeds the expected NOPAT. V
4. TXRH earned a negative ROPI because the realized NOPAT was less than the expected NOPAT.

b. At what level of WACC would Texas Roadhouse not report positive residual operating income for 2015?

Answers: 1

Show answers

Another question on Business

Business, 22.06.2019 05:50

Match each of the terms below with an example that fits the term. a. fungibility the production of gasoline b. inelasticity the switch from coffee to tea c. non-excludability the provision of national defense d. substitution the demand for cigarettes

Answers: 2

Answer

Business, 22.06.2019 13:40

After much consideration, you have chosen cancun over ft. lauderdale as your spring break destination this year. however, spring break is still months away, and you may reverse this decision. which of the following events would prompt you to reverse this decision? a. the marginal cost of going to cancun decreases.b. the marginal cost of going to ft. lauderdale decreases.c. the marginal benefit of going to cancun increases.d. the marginal benefit of going to ft. lauderdale decreases.

Answers: 2

Answer

Business, 22.06.2019 16:50

Coop inc. owns 40% of chicken inc., both coop and chicken are corporations. chicken pays coop a dividend of $10,000 in the current year. chicken also reports financial accounting earnings of $20,000 for that year. assume coop follows the general rule of accounting for investment in chicken. what is the amount and nature of the book-tax difference to coop associated with the dividend distribution (ignoring the dividends received deduction)?

Answers: 2

Answer

Business, 22.06.2019 19:30

The usa today reports that the average expenditure on valentine's day is $100.89. do male and female consumers differ in the amounts they spend? the average expenditure in a sample survey of 47 male consumers was $135.67, and the average expenditure in a sample survey of 38 female consumers was $68.64. based on past surveys, the standard deviation for male consumers is assumed to be $34, and the standard deviation for female consumers is assumed to be $17.

Answers: 1

Answer

You know the right answer?

In its 2015 fiscal year annual report, Texas Roadhouse reports net operating income after tax (NOPAT...

Questions