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A: Purchase price of the stock (P0) = $35 Dividend paid (D) = $2.75 a. Stock price at the end of the…
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A: Purchase Price P 40,00,000.00 Cots Incurred Buying P…
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A: The Marginal rate of return: The incremental earnings that are estimated to be earned by spending…
Q: Jimmy paid off a mortgage by paying $700 per month for 12 years. What was the original amount of the…
A: Compounding Period is semi annual Monthly Payment = 700 Semi Annual Payment(PMT) = 700 * 6 months =…
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A: Loans are paid by the equal annual installments these carry the payment for interest and payment for…
Q: Employers put $300 toward a pension plan every month. If the account has an interest rate of 9%/a…
A: Monthly contribution (c) = $300 Monthly interest rate (r) = 0.0075 (i.e. 0.09 / 12) Monthly period…
Q: Identify at least any four(4) advantages of IRR over DPBP
A: Internal rate of return (IRR): The Internal Rate of Return (IRR) is the minimum rate of return that…
Q: how is financial management related to economics on the one hand and accounting on the other hand.
A: Financial Management: It refers to the planning, directing, organizing & controlling the…
Q: Future Value for Various Compounding Periods Find the amount to which $350 will grow under each of…
A: Initial value (i) = $350 Interest rate (r) = 0.06 or 6% Period (p) = 5 years Future value (FV) = ?…
Q: also good for 13 years. How much money would you need to invest in Investment B today for it to be…
A: Information Provided: Monthly payment (Investment A) = $1650 APR (Investment A) = 7,8% compounded…
Q: Assume the current 1-year interest rate is 4%, and you expect the 1-year rate to be 5% next year and…
A:
Q: ock Corp. has a EBITDA of $1,000 and is in an industry where EV/EBITDA multiples are generally 8.0x.…
A: Answer- EV/EBITDA multiples = EV/EBITDA. Where, EV stands for Enterprise Value. A firm’s EV is…
Q: How long will it take an RESP to grow to $200,000, if the plan owner contributes $250 at the end of…
A:
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A: Beta of stock is 0.80 Expected return on market is 12% Risk free rate is 3.4% EBIT is $3.15 million…
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A: Given: Current dividend(D0) $1.60 Required return (rs) 10% Short term growth rate (gs) 20%…
Q: Sandra Jones intends to retire in 20 years at the age of 65. As yet, she has not provided for…
A: Present Value: The present value is the present sum of a series of fixed payments. The series of…
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A: Internal Rate of return ( IRR) is Capital budgeting techniques which help in decision making on the…
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A: Information Provided: Initial outlay = $40,000 Cash Inflows (Year 1- 9) = $13,000 WACC = 13%
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Q: A local university received a $150,000.00 gift to establish an endowment fund for a student…
A: Gift Value = $150,000 Interest Rate = 4%
Q: The amount that goes towards interest is $ (Round to the nearest cent.). The amount that goes…
A: *Answer: Loan Amortization Schedule gives the information of your loan and how you'll repay it. The…
Q: Joseph received a loan of $40,000 from the bank at 4.25% compounded monthly. If she had to repay…
A: Mortgage/ Borrowings: Borrowings are the loan which is taken by the individual to meet its…
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A: variance of Security is a measurement of risk. It is calculated with square root of slandered…
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A: Present Value: The present value is the present sum of a series of fixed payments. The series of…
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A: Future value of the investment includes the amount deposited and amount of interest being…
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A: The loans are paid by the monthly payments that carry the payment for interest and payment for…
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A: Value of a firm can be calculated by summing up the market value of all sources of financing.
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A: Portfolio: A portfolio is the collection of various securities. A portfolio helps in reducing the…
Q: Serbanika Limited has issued share capital of 2 million common shares, par value $1.00. The board of…
A: Ordinary shares = 2,000,000 Right issue =1:4 shares Cost of Issue = $50,000 Par value = $1 Issue…
Q: 6. Andy borrowed $800 from his father to purchase a mountain bike. Andy paid back $1,200 to his…
A: Given Amount borrowed $800 Amount paid back is $1200 Term is 5 years
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A: Financing ost will be reflective of all such cost which are incurred due to financing of a…
Q: Assume you win a lottery that will pay you $10,000 immediately, plus $20,000 one year from now,…
A: The present value of future cash flows will be calculated by discounting of the future cash flows…
Q: You are offered a business partnership that guarantees you cash returns of $150,000 one year from…
A: Present value of future cash flows will be calculated in order to find out the total value of…
Q: Your plain to retine in 35 years and witte to have $1,000,000 inimestments How much money would you…
A: Time value of money (TVM) refers to the method or concept which is used to determine the amount of…
Q: Red Oyster Seafood Company can issue a 30-year debt security that pays an annual coupon payment of…
A: Given: Particulars Years 30 Coupon amount(PMT) $100 Par value(FV) $1,000 Tax rate 35%
Q: nventory days equal to Total Inventory Stock divided by Average Operating Expenses per day Raw…
A: Maintaining adequate inventory is very important for business and inventory is important component…
Q: The CFO of a US corporation is considering borrowing £500 million British pounds at a cost of 4% per…
A: Investing or borrowing from a foreign country is exposed to the exchange rate risk.
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A: The importance of safety measures and environmental regulations can be gauged from the BP oil spill…
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Q: Find the BEY of a Treasury Strip that you can purchase for settlement on Oct. 24, 2019 at a quoted…
A: Here, Quoted Price is 89 Face Value is 100 Settlement Date is Oct-24,2019 Maturity Date is…
Q: Federal Bank is issuing a growing perpetual bond with a face value of Rs. 1000. The interest amount…
A: Perpetual bond: In actuality, perpetual bonds constitute a debt obligation, but only in the sense…
Q: Following are five separate cases involving internal control issues. Required: 1. For each case,…
A: Internal controls used to include the company measure, which helps in ensuring their employees with…
Q: You determine in the marketplace that the average price for milk is R 14 per litre and that the…
A: The average price for milk = R 14 per litre Farmer gets = R 7 per litre Mark-up on cost = 20%
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A: Working capital is the difference between the current assets and current liabilities and are very…
Q: The rate of return for the following cash flow is closest to: If the file failed to load, click If…
A: ANSWER: 14% Internal Rate of Return is a discount rate that makes the net present value (NPV) of…
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