链喇4经降发事大培 公司理财 Required: (a)Find the EBIT indifference level associated with the two financing plans.(6 marks) (b)Prepare an EBIT-EPS analysis chart for this situation.(4maks) (c)A detailed financial analysis of the firm's prospects suggests that long-term EBIT will be between $480,000 and $600,000 annually.Taking this into consideration, which financing plan would you recommend?(5marks) (d)What will be the degree of financial leverage at the difference point?(5 marks) (20 marks) 3.Fluorspar Ltd manufactures motor parts for a range of leading motor-car companies.It has recently appointed a new Finance Director who has concluded that the business does not exert sufficient control over its stocks.Within the first few weeks of taking up the new job,she found evidence of both overstocking and understocking of many items.She has decided to bring the matter to the attention of the Board of Directors as she believes that they are not fully aware of the cost of these stock control problems.She believes that the longer term solution to these problems is to adopt a just-in-time approach for many items.However,in the short term she has started to implement stock management models to help minimize costs. As a starting point,the company has implemented the Economic Order Quantity model to the management of its stock of exhaust pipes.Although this has already proved beneficial,the business has now received an offer from a supplier of one particular type of exhaust pipe.The supplier has offered Fluorspar Ltd a discount of 2-5%on the cost of each exhaust pipe for order sizes of 200 or more and a discount of 4%for order sizes of 400 or more.Each exhaust pipe costs $60 to purchase and the cost of holding one exhaust pipe in stock is estimated at $80 per year.The ordering cost is $50 and the annual sales demand is 8,000 exhaust pipes,which accrues evenly over the year. Required: (a)Identify and discuss the types of cost that may be incurred by the business when holding: (0 too much stock;and (间 too little stock;(7 marks) (b)Calculate the appropriate order size for the exhaust pipes that will minimize the total 第9页共13页公司理财 Required: (a) Find the EBIT indifference level associated with the two financing plans. (6 marks) (b) Prepare an EBIT-EPS analysis chart for this situation. (4maks) (c) A detailed financial analysis of the firm’s prospects suggests that long-term EBIT will be between $480,000 and $600,000 annually. Taking this into consideration, which financing plan would you recommend? (5marks) (d) What will be the degree of financial leverage at the difference point? (5 marks) (20 marks) 3. Fluorspar Ltd manufactures motor parts for a range of leading motor-car companies. It has recently appointed a new Finance Director who has concluded that the business does not exert sufficient control over its stocks. Within the first few weeks of taking up the new job, she found evidence of both overstocking and understocking of many items. She has decided to bring the matter to the attention of the Board of Directors as she believes that they are not fully aware of the cost of these stock control problems. She believes that the longer term solution to these problems is to adopt a just-in-time approach for many items. However, in the short term she has started to implement stock management models to help minimize costs. As a starting point, the company has implemented the Economic Order Quantity model to the management of its stock of exhaust pipes. Although this has already proved beneficial, the business has now received an offer from a supplier of one particular type of exhaust pipe. The supplier has offered Fluorspar Ltd a discount of 2·5% on the cost of each exhaust pipe for order sizes of 200 or more and a discount of 4% for order sizes of 400 or more. Each exhaust pipe costs $60 to purchase and the cost of holding one exhaust pipe in stock is estimated at $80 per year. The ordering cost is $50 and the annual sales demand is 8,000 exhaust pipes, which accrues evenly over the year. Required: (a) Identify and discuss the types of cost that may be incurred by the business when holding: (i) too much stock; and (ii) too little stock; (7 marks) (b) Calculate the appropriate order size for the exhaust pipes that will minimize the total 第 9 页 共 13 页