What do entrepreneurs do that distinguishes them from any other person involved in the business?

Q: What is the accumulated value of periodic deposits of $60 at the beginning of every month for 22 yea...

A: Monthly deposit (P) = $60 Interest rate = 2.59% Monthly interest rate (r) = 2.59%/12 = 0.21583333333...

Q: A 5-year project will require an investment of $100 million. This comprises of plant and machinery w...

A: Project life is 5 years Initial investment is $100 million Incremantal revenue is $120 million Expen...

Q: ecently reported net income of P5,000,0000.  The firm has P40,000,000 total assets. Next year, Inc. ...

A: Out of the net income some part is paid as dividend and some part is retained with firm for future g...

Q: The option is currently a.) In-the-money b.) At-the-money c.) Out-the-money 2.) In/At/Out- the m...

A: Call option gives the opportunity to buy the stock at given price on given date of expiration but th...

Q: You want to buy a $258,000 home. You plan to pay 20% as a down payment, and take out a 4% APR loan f...

A: Amortized Loan:  Amortized loan is a type of loan in which the borrower would pay periodic payments ...

Q: Inc. expects to use 48,000 boxes of chocolate per year costing P12 per box. Inventory carrying cost ...

A: Solution:- Carrying cost of inventory means the holding cost of inventory paid in order to store and...

Q: Brazil used the free float exchange rate method from 1999. Discuss the motives of Brazil's move and ...

A: Free floating exchange rate is the market determined exchange rate that is based on supply and deman...

Q: Assume oat forward prices over the next 3 years are $2.30, $2.40, and $2.33, respectively. Effective...

A:   We can calculate the swap price using the above 3 forward prices and the interest rate then we wil...

Q: What is the amount of compensating balance would be required for a nominal interest rate of 12% to e...

A: Borrowings are the loan which is taken by the individual to meet its financial requirements. The mor...

Q: Royal Dutch Shell PLC (ticker: RDS) is a large, multinational oil company. The firm is preparing to ...

A: Solution:- When an asset is put into use, its value gets decreased due to wear and tear. This wear a...

Q: Bulldogs Inc. recently reported net income of P5,000,0000. The firm has P40,000,000 total assets. Ne...

A: The increase in retained earning is a result of increase in net income due to increase in sales leve...

Q: A payday loan is structured to obscure the true interest rate you are paying. For example, in Washin...

A: Answer- Step 1 - Calculation of r -  r = (FV/PV)^(1/n) - 1 Given, FV = 230 PV = 200 n = 1   Putting ...

Q: ind the future values of the following ordinary annuities.

A: Future Value of Ordinary Annuity: It refers to the future worth of the annuity cash flows made at t...

Q: Haliford Corporation expects to have eamings this coming year of $2.986 per share. Haliford plans to...

A: The share price which is the maximum price to be paid for share consists of dividends and terminal v...

Q: Bulldogs Inc. is considering whether to pursue a restricted or relaxed current asset investment poli...

A: Return on equity is the net income earned by the amount invested in the net assets of the company. H...

Q: hich of the following is not a way in which banks lend short-term unsecured loans? a. Through a gua...

A: Banks give short term credits to the business to increase the business and grow business and provide...

Q: (Related to Checkpoint 5.6) (Solving for i) At what annual interest rate, compounded annually, would...

A: Investment amount (PV) = $520 Future value (FV) = $1937.06 Period (n) = 10 Years

Q: Consider the following information: State of Economy Probability of State of Economy Rate of...

A: Probability Rate of return 0.21 -0.12 0.48 0.14 0.31 0.33

Q: 2. Linkline's stock is trading at 55 today and you have determined the outlook for the next year is ...

A: Binomial option pricing method will be used to determine the call price of the stock. Given: S0 = $5...

Q: A man takes out a $300 loan with a compound interest rate of 10 percent. The interest is assessed an...

A: Amount of loan in case of compound interest is calculated as: = Principal * (1+rate)^time

Q: a. What is the APR on this loan? (Do not round intermediate calculations and enter your answer as a...

A: Effective annual rate (EAR) refers to a real interest rate which an investor is expect from his inve...

Q: McCabe Corporation is expected to pay the following dividends over the next four years: $15, $11, $9...

A: Answer - Formula for Share Price P0 = D0 (1+g) / [R-g]= D1 / [R-g]Price at P4 -= D5 / [R-g]= (2.95x1...

Q: An investment project involves an investment now of 100. In one year, a positive cash flow of 40 is ...

A: Internal rate of return is discount rate at which the present value of cash flow is equivalent to in...

Q: OPTIONAL: D1 Numerator OPTIONAL: D1 Denominator OPTIONAL: D1

A: Option is a type of derivative security as its value depends on the underlying security. The value o...

Q: Sixty monthly deposits are made into an account paying 8% nominal interest compounded monthly. If th...

A: Payment per period can be calculated using PMT function in excel.   PMT(rate, nper, pv, [fv], [type]...

Q: ross-Ocean Boats Ltd. is in the 30% tax bracket. It is interested in determining the minimum return ...

A: For purpose of minimum return to debt holders, we need to calculate yield to maturity by using excel...

Q: Below you see yields on T-bills from March 15, 2022 with maturities of 4, 8, 13, 26 and 52 weeks. Us...

A: Formula for the calculation of Yield using Bamk discount yield is as below: Yield=Face Value-Purchas...

Q: Bulldogs Inc. offered a one-year loan to a customer client. The instrument is a discounted note with...

A: Nominal discount rate = 15%

Q: Fill in the blank with the correct answer. ( Simple Interest) Amount/Maturity Principal Interest Rat...

A: You have asked to answer row 3.   Concept :- In simple interest , no compounding of interest is done...

Q: A company is considering a £70,000 investment in a machine that would produce 10,000 items per year ...

A: Investment  £70,000.00 Salvage Value  £10,000.00 Time Period 3 Variable Cost 7 Selling price...

Q: (Related to Checkpoint 5.5) (Solving for n) Jack asked Jill to marry him, and she has accepted under...

A: We will have to use the concept of time value of money. As per the concept of time value of money th...

Q: Bulldogs Inc. expects to use 48,000 boxes of chocolate per year costing P12 per box. Inventory carry...

A: Solution:- Carrying cost of inventory means the cost incurred in order to store the inventory.

Q: The 4.55 percent bond of Dominic Cyle Parts has a face value of $1.000, a maturity of 12 years, semi...

A: Face value  of bond (FV) = $1000 Coupon rate = 4.55% Semi annual coupon amount (C) = 1000*0.045/2 = ...

Q: A В D E F 1 A C D E 2 1 Market Capitalization, in millions 3 YUM ZTS ΑAPL Market (OEX) 4 3 31/01/18 ...

A: Stock prices are based on market factors due to which price level of stocks fluctuate on a regular b...

Q: You want to be able to withdraw $35,000 from your account each year for 20 years after you retire. Y...

A: Solution:- When an equal amount is withdrawn or deposited each period for a number of periods, it is...

Q: 52 The Board of Directors of MAT Corporation is planning to make a big acquisition in the next fisc...

A: Solution:- Price / Earnings (P/E) ratio measures that how much times is the market price of share of...

Q: Question 3 Steady As She Goes Inc. will pay a year-end dividend of $3 per share. Investors expect th...

A:

Q: 37) In Walker's taxonomy identification with a company's annual financial results affecting all empl...

A: AS per Walker'sTaxanomy, the company's financial results of the company affects the Team incentives....

Q: Assume that the risk-free interest rate (guaranteed by government bonds) is 4% (annual), and there a...

A: Current stock price is 50 Stock price after one year can be 60 or 45 Probability associated with thi...

Q: What is the current yield on the bonds? (Do not round intermediate calculations and enter your answe...

A: Current Yield: It represents the annual income of the bond consisting of interest payments. It is c...

Q: Safeco Inc. has no​ debt, and maintains a policy of holding ​$12 million in excess cash​ reserves, ...

A: Debt is the amount of money borrowed by one party (party can be an individual or a company or an ins...

Q: Bulldogs Inc. currently fills mail orders from all over the country and receipts were received in it...

A: Net Annual Savings = Incremental Annual Savings - Incremental Annual Cost

Q: A management is faced with the problem of choosing one of three products for manufacturing. The pote...

A: Solution:- Decision regarding choice of product should be on the basis of expected value. The produc...

Q: Assume you put $400 per month into a retirement account for 14 years, and the account has an APR of ...

A: (Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the questio...

Q: What are hedge funds and how can unscrupulous businessmen use them cheat the public?

A: In the world of finance and investments we often hear the words 'hedge funds'. 

Q: Bulldogs Inc. expects earnings before interest and taxes of P2,500,000 for the coming year.  The fir...

A: Tax rate is 25% To Find: Dividend payout ratio

Q: Bulldogs Inc. uses Additional Funds Needed as a plug item. If the company had forecast its additiona...

A: The retention ratio is calculated as ratio of retained earnings and net income for the year

Q: Determine the present value of the following cash flows; P4,000 at the end of 4th month and every mo...

A: Given information= P4000 at the end of 4th month and every month thereafter till the 12th Month Inte...

Q: Write the 4 Formulas for Uniform Annuity Series 1 Find F/A 2 Find P/A 3 Find A/P 4 Fina A/F 5 P (Pr...

A: An annuity is a series of equal payments made over a set period of time. While payments in an ordina...

Q: It is assumed that the Cost of equity and rate of return are both constant under Walter’s Model of D...

A: Solution:- Walter’s Model of Dividend is a relevant dividend model, which implies that the dividend ...