A firm that purchases electricity from the local utility for $350,000 per year is considering installing a steam generator at a cost of $270,000. The cost of operating this generator would be $270,000 per year, and the generator will last for five years. If the firm buys the generator, it does not need to purchase any electricity from the local utility. The cost of capital is 13%. For the local utility option, consider five years of electricity purchases. For the generator option, assume immediate installation, with purchase and operating costs in the current year and operating costs continuing for the next four years. Assume payments under both options at the start of each year (i.e., immediate, one year from now,..., four years from now). What is the net present value of the more attractive choice

Answers

Answer 1

Answer:

Option 1:

Purchasing Electricity from the utility:

NPV = -$1391065.

Option 2:

NPV of more attractive alternative = NPV of purchasing generator = -$1343107.

Explanation:

Option 1:

Purchasing Electricity from the utility:

Purchase cost per year = $350000

[tex]NPV = -350000 * [PVAF (5-1, 0.13) + 1]\\= -350000 * [2.974471 + 1]\\\\= -1391064.85[/tex]

NPV = -$1391065.

Option 2:

Purchasing generator:

Initial Cash Flow:

Purchase Cost of generator                                                                        -$270000

Operating Cash Flow                                                                                      -$270000

                                                                                                                                                                         

                                  = -$540000

Recurring Cash Flows:

Operating Cost                                                                                                                 -$270000

NPV:

Year          Cash Flow                 PVF (13%)                  PV of Cash Flow

0               -$540000                       1                              -$540000

1-4            -$270000                   2.974471                     -$803107

                                                                                        -$1343107

NPV = -$1343107

Since NPV in the case of purchasing a generator is more than that of purchasing electricity,

NPV of more attractive alternative = NPV of purchasing generator = -$1343107.


Related Questions

A company that is at a disadvantage in the marketplace because it lacks competitively valuable resources possessed by rivals:_________
a) nearly always is relegated to a trailing position in the industry.
b) should adopt a new competitive strategy that might better match the circumstances of the marketplace.
c) should abandon strategy elements that have caused its weakness in the marketplace.

Answers

Answer:

a) nearly always is relegated to a trailing position in the industry.

Explanation:

Competitive advantage is defined as factors that a business possesses that allows it to produce goods and services that are better or satisfy customers more than those produced by other competitors.

Competitive advantage results in increased sales and higher profit margins.

This can be broken down into:

- Comparative advantage: where a business produces a good more efficiently than its competitors

- Differential advantage: when a good produced is of higher quality or more unique that other competitor products.

When a company lacks competitively valuable resources possessed by rivals, it will nearly always is relegated to a trailing position in the industry. Because they can't meet up to profit margins of others.

82% of companies shop their products by truck. 47% of companies ship their product by rail 40% of companies shop by truck and rail. What is the probability that a company shops by truck or rail

Answers

Answer: 0.89

Explanation: add the 82% and 47% then subtract the 40, answer is 89.

82% of companies shop their products by truck. 47% of companies ship their product by rail, 40% of companies shop by truck and rail. The probability that a company shops by truck or rail is 0.89.

What is company?

The term "company" refers to legal entities that are lawfully registered under the Company Act. The company's major goal is to increase profits while maintaining goodwill. With the assistance of management, the organization was flawlessly run. Employees are compensated by the company.

Determine the probability of that a company shops by truck or rail:

As the given amount are:

82% of companies shop their products by truck.

47% of companies ship their product by rail

40% of companies shop by truck and rail.

The company shops by truck = ?

The company shops by truck = products by truck + product by rail – shop by truck and rail.

The company shops by truck =  0.82 + 0.47 – 0.40

The company shops by truck = 1.29 – 0.40

The company shops by truck = 0.89

As a result, the probability that a company shops by truck or rail is 0.89.

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The accounting records of Whispering Winds Corp. show the following data. Beginning inventory 3,010 units at $6 Purchases 8,130 units at $8 Sales 9,090 units at $11. Determine cost of goods sold during the period under a periodic inventory system using the FIFO method, the LIFO method, and the average-cost method.

Answers

Answer:

$66,700

b. LIFO = $70800

67807.81

Explanation:

LIFO means last in first out. It means that it is the last purchased inventory that is the first to be sold.

(8130 x 8) + [(9090 - 8130) x 6) = 70800

FIFO means first in, first out. It means that it is the first purchased inventory that is the first to be sold

(3010 x 6) + [(9090 - 3010) x $8] = 66,700

Average cost = [(3010 x 6) + (8130 x 8)] /

18060

48640

b 65040

5760

By having sound policies in place and a framework for the application of controls, you will be able to map existing controls to each regulation, including future regulations. Thereafter, organizations perform a __________ to identify anything that is missing.

Answers

Answer:

gap analysis.

Explanation:

Gap analysis can be defined as a strategic process used by businesses or companies to compare their current (present) performance with an expected or desired performance metrics. Thus, it's a framework used by businesses to measure or have a great understanding of the difference between their desired, expected performance and their current or present performance based on certain criteria.

Internal controls can be defined as the policies, set of rules, and procedures implemented or put in place by an organization to protect its assets, boost efficiency, enhance financial accountability, enforce adherence to company policies and prevent fraudulent behaviors among the employees.

The main purpose of internal controls is to guarantee that loss is eliminated by ensuring that there is an accurate and reliable accounting system.

Hence, organizations perform a gap analysis so as to identify anything that is missing within the business and its external environment.

ABC Company operates two divisions with the following operating information for the month of May:

Division 1: sales, $128,000; operating income, $39,680; operating assets, $320,000.
Division 2: sales, $84,000; operating income, $42,336; operating assets, $420,000.

ABC Company expects a minimum return of 10% should be earned from all investments.

Required:
Prepare ABC Company’s ROI analysis using the DuPont model for each division.

Answers

Requiere abc no minimum da carne

Keidis Industries will pay a dividend of $4.35, $5.45, and $6.65 per share for each of the next three years, respectively. In four years, you believe that the company will be acquired for $61.00 per share. The return on similar stocks is 9.4 percent. What is the current stock price

Answers

Answer:

$56.19

Explanation:

Current stock price can be determined by calculating the present value of the dividend payments

Present value is the sum of discounted cash flows

Present value can be calculated using a financial calculator

Cash flow in year 1 = 4.35

Cash flow in year 2 = 5.45

Cash flow in year 3 = 6.65

Cash flow in year 4 = 61

I = 9.4

PV = $56.19

To find the PV using a financial calculator:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. after inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.  

3. Press compute  

Martha B's has total assets of $1,810. These assets are expected to increase in value to either $1,900 or $2,400 by next year. The company has a pure discount bond outstanding with a face value of $2,000. This bond matures in one year. Currently, U.S. Treasury bills are yielding 5.5 percent. What is the value of the equity in this firm

Answers

Answer:

$7.24

Explanation:

PV at the risk free rate = $1,900 / (1 + 0.055)

PV at the risk free rate = $1,900 / 1.055

PV at the risk free rate = $1,800.95

Number of options needed = (2,400 - 1,900) / (400 - 0)

Number of options needed = 500 / 400

Number of options needed = 1.25

Total assets = (No of options needed*Value of equity) +  Present value at the risk free rate. Let Value of equity be C0

$1,810 = (1.25*C0) + $1,800.95

$1,810 - $1,800.95 = 1.25*C0

C0 = $9.05 / 1.25

C0 = $7.24

So, the Value of equity in this firm is $7.24.

mcdonalds, burger king, pizza hut and KFc retaurastand all operate in different countries are best characterized as what kind of corporations

Answers

Answer:

multi-domestic corporation

Explanation:

A multi-domestic corporation are the localized form of multinational corporations. They operate through domestic channels. The management is headed by the domestic operations. The managers and operations are the local personnel who make the decisions and make significant changes in the respective countries. The management of McDonalds, Burger King, Pizza Hut and KFC comprises of the local team in every country. The decisions and regulations are termed in accordance to the culture, environment and market of the particular country.

In assembly-line balancing, cycle time (the ratio of available production time to scheduled production) is the: minimum time that a product is allowed at each workstation. maximum time that a product is allowed at each workstation. inverse of the minimum number of workstations needed. sum of all the task times divided by the maximum number of workstations. equivalent of the maximum task time among all tasks.

Answers

Answer:

maximum time that a product is allowed at each workstation

Explanation:

The cycle time represent the maximum time for each and every workstation

Also,

Theoretical number of workstation = Total task time ÷ Cycle time

The cycle time is the vital concept with regard to the line balancing to give assurance related to the production happen according to the demand. Also it help in allocation of the resources in the proper way.

Therefore the above statement should be considered  

You own a portfolio that has $2,600 invested in Stock A and $3,600 invested in Stock B. If the expected returns on these stocks are 12 percent and 15 percent, respectively, what is the expected return on the portfolio

Answers

Answer:

the  expected return on the portfolio is $7,052

Explanation:

The computation of the expected return on the portfolio is shown below:

Stock A return = $2,600 + 12% of 2600 = $2,912

And,  

Stock B return = $3,600 + 15% of 3600 = $4,140

So,  

Expected return on portfolio is

= $2,912 + $4,140

= $7,052

hence, the  expected return on the portfolio is $7,052

Helppppppp pleaseeee

Answers

Answer:

B

Explanation:

I think but i may be wrong

Identifying your sources will help you to establish credibility.

Question 6 options:
True
False

Answers

Answer:

True

Explanation:

Identifying your sources help your audience believe that your information is reliable.

The statement is True. Identifying your sources will help you to establish credibility.

You can increase your trustworthiness by: Being competent is being knowledgeable in your chosen subject. Giving accurate, verified facts is being honest. Responsibility for your choices and deeds.

Why is it important to establish credibility?

Credibility is a crucial quality since it has the power to change people's habits, attitudes, and behaviors. Therefore, if a business, its representatives, or its brand lack credibility, others will be less inclined to trust what is being said or taught, making communication pointless.

You must be regarded as a reliable source of information and judgment by your team members if you want to build credibility. However, when it comes to establishing credibility, deeds speak louder than words. For instance, you risk losing people's confidence if you don't keep your word or make poor decisions without a clear plan.

Thus, Three factors trustworthiness, expertise, and dynamism were taken into consideration while evaluating the people we were working with when only considering their credibility.

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The types of management skills​

Answers

Answer:

Technical Skills Technical skills involve skills that give the managers the ability and the knowledge to use a variety of techniques to achieve their objectives. ...

Conceptual Skills These involve the skills managers present in terms of the knowledge and ability for abstract thinking and formulating ideas. ...

Human or Interpersonal SkillsTechnical Skills Technical skills involve skills that give the managers the ability and the knowledge to use a variety of techniques to achieve their objectives. ...

Conceptual Skills These involve the skills managers present in terms of the knowledge and ability for abstract thinking and formulating ideas. ...

Human or Interpersonal SkillsTechnical Skills Technical skills involve skills that give the managers the ability and the knowledge to use a variety of techniques to achieve their objectives. ...

Conceptual Skills These involve the skills managers present in terms of the knowledge and ability for abstract thinking and formulating ideas. ...

Human or Interpersonal SkillsTechnical Skills Technical skills involve skills that give the managers the ability and the knowledge to use a variety of techniques to achieve their objectives. ...

Conceptual Skills These involve the skills managers present in terms of the knowledge and ability for abstract thinking and formulating ideas. ...

Human or Interpersonal SkillsTechnical Skills Technical skills involve skills that give the managers the ability and the knowledge to use a variety of techniques to achieve their objectives. ...

Conceptual Skills These involve the skills managers present in terms of the knowledge and ability for abstract thinking and formulating ideas. ...

Human or Interpersonal SkillsTechnical Skills Technical skills involve skills that give the managers the ability and the knowledge to use a variety of techniques to achieve their objectives. ...

Conceptual Skills These involve the skills managers present in terms of the knowledge and ability for abstract thinking and formulating ideas. ...

Human or Interpersonal SkillsTechnical Skills Technical skills involve skills that give the managers the ability and the knowledge to use a variety of techniques to achieve their objectives. ...

Conceptual Skills These involve the skills managers present in terms of the knowledge and ability for abstract thinking and formulating ideas. ...

Human or Interpersonal SkillsTechnical Skills Technical skills involve skills that give the managers the ability and the knowledge to use a variety of techniques to achieve their objectives. ...

Conceptual Skills These involve the skills managers present in terms of the knowledge and ability for abstract thinking and formulating ideas. ...

Human or Interpersonal Skills:

A minor league baseball team raised the average price of its tickets from​ $8 to ​$ and found that average attendance at its games dropped from​ 5,200 to . Using the arc elasticity of demand​ formula, the price elasticity of demand for tickets is nothing. ​(Express your answer as a real number rounded to two decimal places. ​ Don't forget the negative​ sign.) The demand for tickets is therefore ▼ price elastic price inelastic unit elastic completely elastic completely inelastic .

Answers

Answer:

-0.95

inelastic

Explanation:

minor league baseball team raised the average price of its tickets from $8 to $8.90 and found that average attendance at its games dropped from 5, 200 to 4, 700. Using the arc elasticity of demand formula, the price elasticity of demand for tickets is .(Express your answer as a real number rounded to two decimal places. Don't forget the negative sign.) The demand for tickets is therefore

Price elasticity of demand measures the responsiveness of quantity demanded to changes in price of the good.

Price elasticity of demand = midpoint change in quantity demanded / midpoint change in price  

Midpoint change in quantity demanded = change in quantity demanded / average of both demands

change in quantity demanded = 4700- 5200= -500

average of both demands = (4700 + 5200 ) / 2 = 4950

Midpoint change in quantity demanded = 500 / 4950 = -0.101

midpoint change in price = change in price / average of both price

change in price = 8.9 - 8 = 0.9

average of both price = (8.9 + 8) / 2= 8.45

0.9 / 8.45 = 0.107

-0.101 / 0.107 = -0.95

If the absolute value of price elasticity is greater than one, it means demand is elastic. Elastic demand means that quantity demanded is sensitive to price changes.  

Demand is inelastic if a small change in price has little or no effect on quantity demanded. The absolute value of elasticity would be less than one

Demand is unit elastic if a small change in price has an equal and proportionate effect on quantity demanded.  

Infinitely elastic demand is perfectly elastic demand. Demand falls to zero when price increases  

Perfectly inelastic demand is demand where there is no change in the quantity demanded regardless of changes in price.

 

0.1125

-0.1754

Assume the inflation rate is 0.2% per month. Would you rather earn a nominal return of 0.75% per month compounded monthly, or a real return of 6.5% APR compounded annually? The annual rate for the nominal return of 0.75% per month is:___.

Answers

Answer:

6.79%

Explanation:

Use the following formula to calculate the Effective annual rate

Effective annual rate = ( ( (  1 + Nominal return )^12 ) / ( (  1 + Inflation return )^12 ) - 1 )

Where

Nominal rate = 0.75%

Inflation rate = 0.20%

Placing values in the formula

Effective annual rate = ( ( (  1 + 0.75% )^12 ) / ( (  1 + 0.2% )^12 ) - 1 )

Effective annual rate = 6.79%

Sheffield Corp. had 205000 shares of common stock, 20300 shares of convertible preferred stock, and $1580000 of 4% convertible bonds outstanding during 2021. The preferred stock is convertible into 39800 shares of common stock. During 2021, Sheffield paid dividends of $1.00 per share on the common stock and $4 per share on the preferred stock. Each $1,000 bond is convertible into 30 shares of common stock. The net income for 2021 was $599000 and the income tax rate was 35%.

Diluted earnings per share for 2021 is :__________

Answers

Answer:

Diluted earnings per share for 2021 is: $2.19 per share.

Explanation:

Amount of increase in net income if bonds are converted = Total value of convertible bonds * Bond rate * (100% - Tax rate) = $1580000 * 4% * (100% - 35%) = $41,080

Total earnings available to Equity Shareholders = Net income + Amount of increase in net income if bonds are converted = $599000 + $41,080 = $640,080

Number of shares of common stock = 205,000

Number of common shares obtainable from preferred stock = 39,800

Number of common shares obtainable from convertible bonds = (Total value of convertible bonds / $1,000) * 30 = ($1580000 / $1,000) * 30 = 47,400

Total number of shares outstanding = Number of shares of common stock + Number of common shares obtainable from preferred stock + Number of common shares obtainable from convertible bonds = 205,000 + 39,800 + 47,400 = 292,200

Diluted earnings per share = Total earnings available to Equity Shareholders / Total number of shares outstanding = $640,080 / 292,200 = $2.19 per share

Therefore, we have:

Diluted earnings per share for 2021 is: $2.19 per share.

The more the lower-level personnel provide input or are actually given the discretion to make decisions, the ________ within that organization.

Answers

The more the lower-level personnel provide input or are actually given the discretion to make decisions, the more [tex]\boxed{ decentralization }[/tex] there is within that organization.

[tex]\circ \: \: { \underline{ \boxed{ \sf{ \color{green}{Happy\:learning.}}}}}∘[/tex]

The more the lower-level personnel provide input or are actually given the discretion to make decisions, the Decentralization within that organization.

What do you mean by the decentralization?

Decentralization is a type of organisational structure in which the top management delegated power to the middle and lower levels of management in an organisation.

Decentralization in management is the systematic distribution of power among the various levels of management within an organisation. It explains how different organizational levels are given different amounts of decision-making authority.

In a decentralized organisation, subordinates have the chance to demonstrate their skills. Through promotions, management also gains access to a pool of qualified workers who can be deployed in demanding situations and foster responsibility.

Therefore, the more the lower-level personnel provide input or are actually given the discretion to make decisions, the Decentralization within that organization.

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You have just signed a contract for your rental property and you will make monthly payments at the beginning of each month. Your monthly payments is $1000 and the monthly rate is 4% per month. Calculate the present value of your rental payments for the first year.

Answers

Answer:

$9,760.48

Explanation:

Present value of annuity due = P* [[1 - (1+r)^-(n-1)] / r] + P. Where P = Periodic payment = $1,000, r = Rate of interest per period 4% (0.48/12), n = number of payments 12 (12*1)

Present value of annuity = $1000 * [[1 - (1 + 0.04)^-(12-1)] / 0.04] + $1000

Present value of annuity = $1000*8.760475 + $1000

Present value of annuity = $8760.48 + $1000

Present value of annuity = $9,760.48

Stock A's stock has a beta of 1.30, and its required return is 11.75%. Stock B's beta is 0.80. If the risk-free rate is 4.75%, what is the required rate of return on B's stock?

Answers

Answer:

9.054

Explanation:

The first step is to calculate the market risk premium for stock A

11.75%= 4.75% + 1.30 × market risk premium

11.75-4.75= 1.30×mrp

7= 1.30 ×mrp

mrp= 7/1.30

= 5.38

Therefore the required rate on stock B can be calculated as follows

4.75+0.80×5.38

= 4.75 + 4.304

= 9.054

In a closed economy, public saving is the amount of a. income that households have left after paying for taxes and consumption. b. spending that the government undertakes in excess of the taxes it collects. c. income that businesses have left after paying for the factors of production. d. tax revenue that the government has left after paying for its spending.

Answers

Answer:

In a closed economy, public saving is the amount of

d. tax revenue that the government has left after paying for its spending.

Explanation:

Public saving or budget surplus in a closed economy describes the excess of government revenue (obtained through taxation of individuals and businesses in the economy) and government expenditures on goods and services. In an open economy, transfers are deducted before arriving at the public saving.  In all economies, the addition of private (individual and business) and public savings result to national investments.

Gabi Gram started The Gram Co., a new business that began operations on May 1. The Gram Co. completed the following transactions during its first month of operations

May
1 G. Gram invested $40,000 cash in the company.
1 The company rented a furnished office and paid $2,200 cash for May’s rent.
3 The company purchased $1,890 of office equipment on credit.
5 The company paid $750 cash for this month’s cleaning services.
8 The company provided consulting services for a client and immediately collected $5,400 cash.
12 The company provided $2,500 of consulting services for a client on credit.
15 The company paid $750 cash for an assistant’s salary for the first half of this month.
20 The company received $2,500 cash payment for the services provided on May 12.
22 The company provided $3,200 of consulting services on credit.
25 The company received $3,200 cash payment for the services provided on May 22.
26 The company paid $1,890 cash for the office equipment purchased on May 3.
27 The company purchased $80 of advertising in this month’s (May) local paper on credit; cash payment is due June 1.
28 The company paid $750 cash for an assistant’s salary for the second half of this month.
30 The company paid $300 cash for this month’s telephone bill.
30 The company paid $280 cash for this month’s utilities.
31 G. Gram withdrew $1,400 cash from the company for personal use.

Required
a. Show effects of the transactions on the accounts of the accounting equation by recording increases and decreases in the appropriate columns.
b. Prepare an income statement for May, a statement of owner’s equity for May, a May 31 balance sheet, and a statement of cash flows for May.

Answers

Answer:

1. Asset and capital will increase

2. Current asset decrease

3. Asset and liability increase

4. Asset decrease

5. Asset increase

6. Asset increase

7. Asset decrease, expense increase

8. Asset increase

9. Asset increase

10. Asset decrease, liability decrease

11. Liability increased

12. Asset decrease

13. Asset decrease

14. Capital decrease

Explanation:

Income Statement for the month of May:

Sales Revenue $11,100

Less: Operating Expenses:

Cleaning service $750

Salary expense $750

Advertising expense $80

Salaries expense $750

Telephone bill $300

Utilities expense $280

Net Profit $8,190

Weekly demand figures at Hot Pizza are as follows:
Week Demand($)
1 108
2 116
3 118
4 124
5 96
6 119
7 96
8 102
9 112
10 102
11 92
12 91
Using the Hot Pizza weekly demand figures provided, estimate demand for Week 4 to Week 12 by using a 3-week moving average as well as simple exponential smoothing with α = 0.2. Evaluate the MAD, MAPE, MSE, bias, and TS in each case. Which of the two methods do you prefer? Why? Include all calculations as well as your narrative explanation and summary.

Answers

Answer:

MAD:  10.04,  11.53

MAPSE: 10% ,  12%

MSE : 146.33,  178.72

Bias : -0.56 , -0.96

3-week moving average method is better

Explanation:

i ) Evaluate MAD ( average of absolute errors )

using  3 week moving average

= 10.04

using simple exponential smoothing

= 11.53

ii) MAPSE ( average of absolute percentage error )

using 3 week moving average

= 10%

using simple exponential smoothing

= 12%

iii) MSE ( average of Squared Errors )

3 week MV = 146.33 ,  Simple exponential smoothing = 178.72.

iv) Bias

3 week MV = -5/9 = -0.56,  Simple exponential smoothing = -8.69/9 = -0.96.

v) TS  ( Total error / MAD )

3 week MV = -5 / 10.04 = -0.49 ,

simple exponential smoothing  = -8.69 / 11.53 = -0.75

b) I prefer 3-week moving average based on the values of MAD , MAPE, MSE, bias and TS which shows that there is a better estimate when using the 3 -weeks moving average.

Attached below is the Tabular calculations of the required parameters for the  question

Preferred stock has characteristics of both debt and common stock. Which characteristics of preferred stock resemble that of common stock

Answers

Answer:

The characteristics of preferred stock that resemble that of common stock is that both give the stockholder partial ownership of the entity, otherwise, called equity rights.

Explanation:

Preferred stocks do not confer on the stockholders the right of repayment until the company is liquidated, just like common stock, unless they are redeemable.  They can be converted to common stock.  Unlike common stock, preferred stock does not give voting rights to the stockholders.  Preferred stockholders enjoy priority over a company's income because they are paid dividends before common stockholders.

Options for attacking the high costs of items purchased from suppliers do not include Multiple Choice pressuring suppliers for more favorable prices. integrating backward into the business of high-cost suppliers and making the item in-house so as to better control the cost. switching to lower-priced substitute inputs. collaborating closely with suppliers to identify mutual cost-saving opportunities. raising prices to customers (in order to cover the high costs).

Answers

Answer:

raising prices to customers (in order to cover the high costs).

Explanation:

Supply-side economist can be defined as economists who believes that the ability and willingness of the producers of goods and services to manufacture or produce sets the pace for the economic growth of a country.

This ultimately implies that, increasing the supply of goods and services would cause an economic growth for a country.

Options for attacking or mitigating the high costs of items purchased from suppliers do not include, the seller such as a retailer raising prices to customers in a bid to cover the high costs incurred from the supply.

However, the seller could pressure his or her supplier to lower the cost, switch to a cheaper substitute products, and creating a collaborative effort with the supplier for mutual cost-saving opportunities in the market.

A company issues a 10-year, callable bond at par with 8% annual coupon payments. The bond can be called at par in one year after issue or any time after that on a coupon payment date. The call price is $108 per $100 of face value. What is the yield to call if this bond is called in one year

Answers

Answer:

the yield to call is 9%

Explanation:

The computation of the yield to call is as follows:

Given that

NPER is 10 year

PMT = $100 × 8% = $8

FV = $108

PV = $100

The formula is shown below:

= RATE(NPER,PMT,PV,FV,TYPE)

after applying the above formula, the yield to call is 9%

mike has $200 in his wallet. He pays a cell phone bill of $89.50. Then he earns $125 shoveling driveways. From mike lends $15 to friend. That night he gets $20 in a card for his birthday. How much money does he have now?

Answers

Answer:

$240.50

Explanation:

200-89.50 = 110.50

110.50+125 = 235.50

235.50-15 = 220.50

220.50 + 20 = 240.50

The market value balance sheet for Scotty Inc. shows cash of $42,000, fixed assets of $319,000, and equity of $237,000. There are 7,500 shares of stock outstanding with a par value of $1 per share. The company has declared a dividend of $1.03 per share. The stock goes ex dividend tomorrow. What will be the price of the stock tomorrow morning

Answers

Answer:

$30.57

Explanation:

Total assets = Cash + Fixed assets

Total assets = $42,000 + $319,000

Total assets = $361,000.

Total liabilities = Total assets - Equity

Total liabilities = $361,000 total assets - $237,000 equity

Total liabilities = $124,000

Total dividend payments in cash = 7500 shares * $1.03 dividend = $7,725.  So, cash will now be reduced by $34,275 ($42,000 - $7725)

So, total assets will be = $361,000 - $7725 = $353,275.

So, total equity will be = $353,275 - $124,000 = $229,275

The price tomorrow morning = New equity / Total shares

The price tomorrow morning = $229,275 / 7500 shares

The price tomorrow morning = $30.57

Cool Sky reports the following costing data on its product for its first year of operations. During this first year, the company produced 40,000 units and sold 32,000 units at a price of $110 per unit. Manufacturing costs Direct materials per unit $ 42 Direct labor per unit $ 16 Variable overhead per unit $ 5 Fixed overhead for the year $ 360,000 Selling and administrative costs Variable selling and administrative cost per unit $ 10 Fixed selling and administrative cost per year $ 115,000 1a. Assume the company uses absorption costing. Determine its product cost per unit.

Answers

Answer:

Cool Sky

The product cost per unit under absorption costing is:

= $7.20

Explanation:

a) Data and Calculations:

First year production units = 40,000

First year sales units = 32,000

Ending inventory = 8,000 (40,000 - 32,000)

Selling price per unit = $110

Sales revenue = $3,520,000 (32,000 * $110)

Manufacturing costs

Direct materials per unit $ 42

Direct labor per unit $ 16

Variable overhead per unit $ 5

Fixed overhead for the year $ 360,000

Selling and administrative costs:

Variable selling and administrative cost per unit $ 10

Fixed selling and administrative cost per year $ 115,000

Production Cost per Unit under Absorption Costing:

Manufacturing costs:            Unit      Total

Direct materials per unit      $ 42

Direct labor per unit             $ 16

Variable overhead per unit   $ 5

Total variable cost per  unit $63  $2,520,000

Fixed overhead for the year           $ 360,000

Total production cost for 40,000 $2,880,000

Unit product cost = $7.20 ($2,880,000/40,000)

Legal Forces Legal forces are important external forces that international managers need to understand. They are developed at the national level, so international ventures should take care to build relationships with local-level lawyers.
The concepts in this exercise are drawn from Chapter 6 and directly address differences in legal approaches at the national level.
Identify each of the legal characteristics by dragging where it is found to the correct characteristic.
U.S. Product Liability Law per se application
EU Competition Law misuse of activity
US and EU extraterritoriality
U.S. Tort Law trade obstacle, nontariff
U.S. Competition Law strict liability
France punitive damages

Answers

Answer:

Please find the solution in the attached file.

Explanation:

A registered representative is considering prospecting a wealthy family member to see if she will open a brokerage account at his firm. The registered representative checks the National Do-Not-Call List and finds the family member there. The registered representative checks the firm's Do-Not-Call list and does not find the family member there. Which statement is true?
A. This prospect cannot be called by the registered representative.
B. This prospect can be called by the registered representative.
C. This prospect can only be called by the registered representative between the hours of 8:00 AM and 9:00 PM.
D. This prospect can only be called by the registered representative with written approval of the #24 General Principal.

Answers

Answer:

B. This prospect can be called by the registered representative.

Explanation:

A  registered representative may be defined as a person working for a client facing financial firm like the brokerage firm and he acts as the representative for the clients who are trading the investment products as well as securities.

In the context, the prospect can be called by the registered representative. But there are three exceptions that are provided for the cold calls to any individual who are on the national Do not call list :

--- Established business relationship exception.

--- Prior express written consent exception

--- Personal relationship with the associated person exception.

Therefore, option (B) is correct.

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