Anton's Coffee Shop has a return on assets of 12%. Anton's assets = $100 while Anton's owner's equity = $40 and its debt equals $60. What is Anton's return on equity?
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- If your starting net worth is $20,000, how much will you be worth after the following transactions: earn salaries of $3,000, pay living expenses of $2,000, borrow $5,000 and pay interest of $300?Joe Morton buys a piece of equipment for $200,000. He puts down $40,000and finances $160,000. Joe’s opportunity cost is 4 percent, and the lender’sinterest rate is 8 percent. Find the weighted average cost of capital (WACC).Can you show me how you got your balance after she put the 250.00 in , and how you got the interest?
- Adam Marsh is purchasing a $134,000 condominium apartment. If the sellers are responsible for the 6% broker's commission, $900 in closing costs, and the existing first mortgage with a balance of $45,000, what proceeds will be received on the sale of the property? Sale price = Less: Closing costs = Broker fees = First mortgage = Seller's proceeds =Which formula would you use for each of the following problems? A. I= Prt B. F= P(1 +1)" !! C. P= F(1+1)* 1. How much simple interest will be earned on an $800 deposit in an account that earns 2.3% simple interest per year over a pe- riod of 5 months? 2. Kyrie borrowed $3,000 from her parents to buy some furniture. Her parents will charge her 3.25% simple interest per year. Her parents want the loan repaid in 1.5 years. How much will Kyrie owe her parents in 1.5 years? 3. In a certain town child daycare rates have been rising at the rate of 7% per year compounded annually. If 2 years ago the rate per week was $150, how much would you expect to pay today for one week of daycare? 4. A large corporation has invested $1 million in certificate of de- posits (CD). The CDs py 8% per year compounded semiannu- ally. How much will the CDs be worth in 8 years? 5. Jerry would like to purchase a new car in 4 years. He deposits $3,500 in an account that pays 7% per year compounded monthly. How much…Daniel runs a bakery. The cash flow estimate for the bakery is $95,600, with a 35% probability, and $60,500, with a 65% probability. The present value factor is 0.95238. Given this information, what is the expected cash flow? $72,785 $100,380.10 $27,314 $91,047.53
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