Q: Choose from the two machines which is more economical: Machine B 14000 P2,000 Machine A First Cost P...
A: Taxes and Insurance = 3% Interest Rate = 16%
Q: What is the impact of deferred annuities in consideration to business matter?
A: The legal contract between any entity and an insurance company is a deferred annuity contract. The i...
Q: Based on the information below, what is the weighted average cost of capital of ABC Co.?
A: The Weighted Average Cost of Capital(WACC) refers to the financial ratio that calculates the overall...
Q: Suppose Capital One is advertising a 60-month, 5.42% APR motorcycle loan. If you need to borrow $8,0...
A: EMI or monthly mortgage payments are the fixed amount paid by the borrower to the lender that includ...
Q: Assume that sales and expenses forecasts for months April, May, June, and July are as follows. 20% ...
A: Pro forma cash flow It provides the estimated cash inflow and cash outflow for the coming period. It...
Q: Balance sheet Assets (in KD) Liabilities (in KD) Cash 154674 Accounts payable 80000 Accounts receiva...
A:
Q: Some economists believe that the FOMC should instead increase interest rates by 0.50% (50 basis poin...
A: The Fed's tightening monetary policy is virtually entirely due to inflation, The FOMC stated in its ...
Q: You decided to purchase a new appliance by borrowing $1,500 using Home Credit Product Loan which cha...
A: Loan amount (PV) = $1500 Interest rate = 18% Monthly interest rate (r) = 18%/12 = 1.50% Period = 3 Y...
Q: 4. A company owes P 80,000, which includes the interest, to be paid one year from now. To provide fo...
A: At the end of a year (12 months), the total Future Value of the repayments is P =76063.59.The fund's...
Q: Default risk is generally much greater for commercial mortgage loans than home loans because...
A: In finance default risk refers to that risk in which the borrower will not be able to make the neces...
Q: The table shows some Price Real price beef prices (1982-1984 cents per (cents per pound) and the CPI...
A: Let P = Nominal price CPI = CPI index R = Real price
Q: Calculate the inventory period of Havells Ltd with an annual cost of goods sold of $8 million, $1.5 ...
A: Inventory period formula = (Average inventory/Cost of goods sold) x Number of days in a period
Q: Refer to the graph below. It shows 2 indifference curves: for person A and for person B. Which perso...
A: In this question , The Indifference curve (IC) shows the various bundles of two goods that the consu...
Q: 11. You want to start saving for your 10 year old son's college education. If you are guaranteed 13%...
A: Solution:- We know, when an equal amount is saved each year, it is called annuity. Also, future val...
Q: Office of Business Administration tells you that Villa Apartment has a project to expand the current...
A: NPV is the difference between present value of cash inflows and initial investment. NPV =PV of all c...
Q: emand loan was paid off with payments of $3,000 on April 10th, $2,000 on September 25th and a final ...
A: loans are paid by the installment payment and these are paid by the payment that carry the payment f...
Q: You are planning to retire in 25 years time. Immediately after your retirement, you wish to go for a...
A: We are required to find the solution to this question with the help of an Excel Formula,
Q: Beginning Inventory $11,500 Dairy Alternative Purchases (+) $1,000 Produce Purchases (+) $500 Protei...
A: With the help of the given chart ,
Q: Compute the maximum value of the utility function U(x, y, z) = 2xyz, subject to x +4y + 4z = 108. %3...
A: Given , u = x y z subject to x+4y+4z=108 x = 108-4y-4z Then u = 108 - 4y-4zyz= 108yz-4y2z-4yz2Diffe...
Q: If investors are less certain about the economic outlook, they will: Select one: O a. raise capital ...
A: When there is uncertainty about economic outlook then in such a case investors ensure to take a posi...
Q: Fritz buys a car costing $24,300. He agrees to make payments at the end of each monthly period for 8...
A: A loan is an agreement between two parties where a sum is forwarded in return for periodic payments ...
Q: Find the compound interest on 99000 for 2yrs at 10% per annum.
A: Interest is the fee paid to an investor or lender of a capital for a period of time. Interest is cal...
Q: QI: you put $ 2500 in account bank , this bank gives interest 6.5% for the first 3 months of saving ...
A: Interest is the cost which the borrower has to bear on the loan taken. interest is of two kinds. It ...
Q: What is the interest rate on a loan of $52,000 for 54 days that yields $780.00 interest? Group of an...
A: Loan (L) = $52000 n = 54 days Let r = Interest rate
Q: Choose from the two machines which is more economical: Machine A P12,000 Machine B 14000 P2,000 Firs...
A: Equivalent uniform annual cost method is method in which equivalent annual cost is calculated which ...
Q: Ethan wants to set up a fund for his son's education such that he could withdraw $2,982.00 at the be...
A: Quarterly withdrawal (P) = $2982.00 Period = 6 Years Number of quarterly periods (n) = 6*4 = 24 Inte...
Q: The future value of an investment increases as the number of periods increases True or Fase
A: Future value means the value of investment after x period of time compounded at the interest rate.
Q: "Ten years ago, when Nigel was still a college student, he deposited 10,000 in a bank. The bank's ra...
A: Deposit amount (P) = 10,000 Period = 10 Years Quarterly period (n) = 10*4 = 40 Interest rate = 2% Qu...
Q: Referring to balance sheet and income statement of Sitra Co. below, prepare the cash flow from opera...
A: Cash flow statement: Cash flow statement is one of the important and mandatory reports from the comp...
Q: For each of the companies described here, would you expect it to have a low, medium, or high dividen...
A: Dividend is the distribution of the company’s earnings to the shareholders of the company. A dividen...
Q: tock price of Merck falls to $46, the rate of return of your put option is 60% 10%
A: The rate of return is the percentage profit earned on the investment and that indicates the profitab...
Q: Cellular Access, Inc. is a cellular telephone service provider that reported net income of $250 mil...
A: The free cash flow represents the cash generated by the entity rather than accrual based profits for...
Q: A profitability index of 0.50 for a project means that The project returns 50% in present value for ...
A: Profitability index is calculated by dividing present value of benefits by Investment amount
Q: Find the compound amount and compound interest in Php62,000 at the end of 3 years at 8% compounded q...
A: As you have asked multiple questions, we will solve the first question as per the policy presented b...
Q: Based on the information below, what is the weighted average cost of capital of ABC Co.?
A: Cost of capital of a company is the return required by the capital providers of a company. All the c...
Q: 5. Suppose AW(MARR) = $5 for a single alternative. Is this investment economically justified? Justif...
A: Annual Worth: Annual worth is an alternative method for FW and PW Analysis. Almost all times; It w...
Q: 3. If banks heeded Shakespeare's admonition “Neither a borrower nor a lender be", what would happen ...
A: If banks had noted Shakespeare's rebuke, the circular flow of the economy will become much smaller. ...
Q: ABC Co. wants to have a weighted average cost of capital of 10 percent. The firm has an aftertax cos...
A: Cost of capital = (After tax cost of debt x Debt ratio) + (Cost of equity x Equity ratio) ...
Q: What amount is needed to invest today by a man if he wants to receive quarterly cash out of Php 4962...
A: Formula Present value = P*(1-1/(1+i)n)/i Where P = Quarterly cash out i.e. Php 49623 i = Quarterly i...
Q: Prepare a schedule for the following bond, including calculations, yearly income, end-of-year accumu...
A: Given:
Q: Paco buys a bicycle that costs $4,700. Give a 30% down payment and pay with a payment of $3,627.23 n...
A: Bicycle cost = $4700 Down payment = 30% Balance amount = 4700*(1-0.30) = 4700*0.70 = $3290 Period o...
Q: A lock-out provision Prevents even small payments in excess of the contracted amount.
A: Lockout provision is basically prohibit for any advance payment during a specified period. In simple...
Q: A $10000 15-year bond is priced to yield at 12% compounded quarterly. It has quarterly coupons of $2...
A: Face Value = $10,000 Time Period = 15 Years Yield = 12% compounded quarterly
Q: XYZ Ltd. cash budget forewarns of a short-term surplus. Which of the following would be the appropri...
A: The Surplus cash means that the business have extra cash inflows coming into the business. The cash ...
Q: What is Debt Service?
A: Step 1 The amount of money required to pay interest on the loan with the principal over some time is...
Q: What is the impact of annuity dues in consideration to business matter?
A: An annuity due is one whose payment is due right away at the start of each period and the difference...
Q: 14. A man made ten annual end-of-year purchases of P1,000 common stock. At the end of 10th year he s...
A: Yield to maturity can be calculated by following function in excel =RATE (nper, pmt, pv, [fv], [typ...
Q: Jenny is planning to deposit ₱17,000.00 Quezon Metropolitan Bank is offering 7.5% compound...
A: Compound interest is also called as interest on the amount of interest. In other words this is the a...
Q: Calculate the simple interest due on a 72-day loan of P3,000 if the annual interest rate is 4%.
A: Given: Loan = P 3000 Interest rate = 4% number of days in loan = 72 total number of days in year = 3...
Q: Beginning Inventory $11,500 Dairy Alternative Purchases (+) $1,000 Produce Purchases (+) $500 Protei...
A: In the given chart we are given the information regarding the inventory.
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- What are the special tax features of (a) Treasury securities, (b) agency issues, and (c) municipal bonds?Which constitutes a taxable item of gross income? * Compensation for personal injuries O Gain from sale of shares in mutual fund: O Gain from sale of government bonds O Income exempt under treatyWhich of the following groups can benefit from the interest tax shield? both debtholders and equityholders. debtholders. equityholders. only the firm's customers.
- Which, if any, of the following transactions incurred by an S corporation is not a separately stated item? A Tax-exempt income. B Foreign tax credit. C AMT adjustments and tax preference items. D Amortization of organizational expenditures. E Domestic production activities deduction (DPAD).How can we determine the corporate taxable income?Define the term Corporate taxable income?
