FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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- On January 1, 2016. Charley Dow bought 1,000 shares of stock at $28 per share. On December 31, 2018, he sold the stock for $34 per share. What was his annual rate of return? (Use a Financial calculator to arrive at the answer. Round the final answer to 2 decimal places.) Annual rate of return d 15.33 %arrow_forwardLet's assume you borrowed $2000 from Wells Fargo Bank on July 1. The annual Percentage Rate is 5%. The term is 2 years. After you paid the first month's payment (i.e., August 1), you received the tax return of $300 from the IRS on the same day. You used the tax return for the loan payment on the same day. The outstanding balance after the 13th, 14th, and 15th term payments is presented in the table below. What would be the outstanding balance after the 16th term payment? 13th 625.50 14th 540.36 15th 454.87 Group of answer choices 369.03 324.54 389.05 295.63arrow_forwardArianna borrowed $6700. Over the course of 4 years, Arianna ended up paying $1340 in interest. What was the simple interest rate of the loan? Record your answer as a percentage. Do not inlcude the % symbol in your answer. 11%arrow_forward
- 40) can you please help with this question?arrow_forwardPatricia initially borrowed $6,700 from CIBC Bank at 2.9% compounded quarterly. After 4 years she repaid $1,809, then 6 years after the $6,700 was initially borrowed she repaid $2,010. If she pays off the debt 9 years after the $6,700 was initially borrowed, how much should her final payment be to clear the debt completely? Round all answers to two decimal places if necessary. P/Y = 4 % PV = $ 6700 P/Y = 4 % PV = $ 5711.92 C/Y = 4 Amount owed after 4 years (before the first payment) = $ 7,520.92✓ positive value) PMT= $ 0 P/Y = PV = $ Amount owed after the first payment of $1,809 (enter a positive value): $ 5711.92 ✓ C/Y = 4 PMT= $0 N = 16 C/Y = PMT = $ FV = $ 7,520.92✓ N = N = 12 Amount owed after 6 years (before the second payment) = $5816.91 x (enter a positive value) Amount owed after the second payment of $2,010 (enter a positive value): $ FV = $ FV = $5816.91 X I/Y = 2.9 Final payment (after 9 years); (enter a positive value) $ (enter a X I/Y = 2.9 I/Y = %arrow_forwardDée Trader opens a brokerage account and purchases 100 shares of Internet Dreams at $58 per share. She borrows $2,200 from her broker to help pay for the purchase. The interest rate on the loan is 12%. Required:a. What is the margin in Dée’s account when she first purchases the stock? b. If the share price falls to $48 per share by the end of the year, what is the remaining margin in her account? c. If the maintenance margin requirement is 30%, will she receive a margin call?multiple choice Yes No Correct d. What is the rate of return on her investment? (Negative value should be indicated by a minus sign. Round your answer to 2 decimal places.) Dée Trader opens a brokerage account and purchases 100 shares of Internet Dreams at $58 per share. She borrows $2,200 from her broker to help pay for the purchase. The interest rate on the loan is 12%. Required:a. What is the margin in Dée’s account when she first purchases the stock? b. If the share price falls to…arrow_forward
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