Answer:
because they are able to create it at a lower price
Explanation:
As a result of the lower market interest rate for bonds of comparable quality, the bonds were being sold for a premium.
What are bonds?The loan given by an investor to a debtor is represented by a bond, a fixed-income financial instrument. The terms of the loan and the payments are outlined in a bond, which can be compared to an I.O.U. between the lender and borrower.
The amount the bank charges the borrower when making a loan of any kind is referred to as the interest rate. This interest rate-based loan amount must be repaid by the borrower along with the principal sum.
Keeping in mind that investors are prepared to pay more for securities that have lesser potential risk, the bonds are going to sell for more than their nominal value if the market rate of return is lower than the contract rate of interest.
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Computer equipment was acquired at the beginning of the year at a cost of $70,700 that has an estimated residual value of $4,200 and an estimated useful life of 5 years. a. Determine the depreciable cost. $fill in the blank 1 b. Determine the straight-line rate. fill in the blank 2 % c. Determine the annual straight-line depreciation. $fill in the blank 3
Answer:
a, The depreciable cost when using the straight line method is;
= Cost of asset - Residual value
= 70,700 - 4,200
= $66,500
b. As the rate is uniform over the life of the asset, the rate is 100% divided by the life of the asset.
= 100%/5
= 20%
c. Annual depreciation will therefore be;
= Depreciation rate * depreciable cost
= 20% * 66,500
= $13,300
You make $40,000 per year. You have been offered a promotion and a $5,000 raise per year. Your average federal income tax rate will go up from 10% to 15% per year. Should you take the new job and the raise?
Answer:
Yes, Accept the new Job and raise
Explanation:
With the old Job, the annual income is $40,000 and a tax rate of 10%.
The annual tax obligation is 10% of $40,000
=10/100 x $40,000
=0.1 x $40,000
=$4,000
Annual take home is $40,000 -$4,000
=$36,000
With the new salary, the tax obligation will be
Tax rate=15%
Salary =$45,000
=15/100 x $45,000
=0.15 x $45,000
$6,750
The new take home pay is $45,000- $,6750
=$38,250
With the new Job, the take-home pay increases from $36,000 to $38,250.
The new Job and raise should be accepted.
Identify five areas of concern where business standards apply
Answer:
The government regulates the activities of businesses in five core areas: advertising, labor, environmental impact, privacy and health and safety.
Consumer protection Via Advertising Restrictions. ...
Employment and Labor Protection. ...
Environmental Impact of Business. ...
Date Security and Privacy Protection. ...
Safety and Health.
During a six month period, a department had planned sales of $75,000 and planned turnover of 2.6. Using the Basic Stock Method, determine the BOM stock for February, if planned sales for February are $10,500.
Answer:
the BOM stock is $26,846
Explanation:
The computation of the BOM stock for the feb month is shown below:
But before that following calculations need to be done
Average stock is
= net sales ÷ stock turnover
= $75,000 ÷ 2.6
= $28,846
Now the basic stock is
= Average stock - monthly sales
= $28,846 - ($75,000 ÷ 6)
= $16,346
And, finally BOM stock is
= Planned sales + basic stock
= $10,500 + $16,346
= $26,846
hence, the BOM stock is $26,846
Andriel do you remember me
Answer:
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A firm has an Inventory turnover (IT) of 5 times a year on a cost of goods sold (COGS) of $800,000. If the firm improves the inventory turnover to 8 times a year while the COGS remains the same, which of the following statements is true?
a $100,000 is additionally invested in purchasing stock.
b. $160,000 is released into the working capital.
C. $60,000 is additionally invested into purchasing stock
d. $60,000 is released into the working
Answer:
d. $60,000 is released into the working
Explanation:
A high inventory indicates that a company sells its stock many times in a year. It means its costs of managing inventory decreases.
The inventory turnover ratio is calculated as below
=Cost of goods sold/ average inventory
If COGS = $800,000 and the inventory turnover ratio =5,
the average inventory will be
=$800,000 /5
=$160,000
With a turnover of 8, and COGS remain $800,000, average inventory will now be
=$800,000/8
=$100,000
The average inventory will decrease to $100,000 from $160,000 previously.
$60,000 will be released to working capital.
All of the following would have to be reviewed by a principal EXCEPT: A Letters recommending securities to all clients of a registered representative B Complaint letters received from customers C Form letters mailed to all customers D Form letters for internal use within a firm
Answer:
D Form letters for internal use within a firm
Explanation:
A principal is a shareholder that has 10% or more of the voting shares of a company that is privately held or publicly traded.
Principals take into consideration SEC rules for insider trading.
The principal studies various activities such as Letters recommending securities to all clients of a registered representative, Complaint letters received from customers, Form letters mailed to all customers.
This is done to ensure he makes informed decisions regarding investment.
Usually other shareholders take a cue from investing activities of the principal.
Form letters for internal use do not determine share performance, so it is not reviewed by a principal.
Principal is different from majority shareholder who has 50% of more of voting shares.
in a market segment approach, which statement below dose not apply
Will mark brainly
Martha runs a small travel and tourism business. She, along with her staff, organizes vacations for her clients. Recently, Martha opened a new branch of her business in a different city. She has decided to print new brochures and catalogs that give information about her business. She also plans to mail these brochures to various homes in a location that attracts customers. Which type of promotion does Martha plan to use?
A.
sales promotion
B.
direct marketing
C.
personal selling
D.
advertising
E.
public relations
Answer:
c
i can't ghshjdhnsjsggsbdn
Answer:
B - Direct Marketing
Explanation:
1. Plato
2. personal selling is meeting face to face. Direct marketing does not invlove interaction with customers. (:
When deciding whether or not to replace old equipment with new equipment, the overriding consideration is the
Answer: d. difference between future cost savings and the new equipment's costs.
Explanation:
When deciding whether or not to replace old equipment, the main thing the company should be concerned about is if the new equipment is worth it. This worth will be measured by how much it saves for the company over the old equipment vs its cost.
If the cost of the equipment is less than the future savings it will bring in, it should be bought to replace the old equipment because it would be contributing more than it costs. If the reverse is true then it should not be bought.
what is the last step in finding a solution to a problem?
A. choose a solution and try it
B. ignore the problem and it will go away
C. think about ways to solve the problem
D turn the problem into a question
Answer: d
Explanation: hope it helps
Answer:
Choose a solution and try it.
Explanation:
I just finished this lesson and my answer was correct ;}
You are considering borrowing $10,000 for 3 years at an annual interest rate of 6%. The loan agreement calls for 3 equal payments, to be paid at the end of each of the next 3 years. (Payments include both principal and Interest.) The annual payment that will fully pay off the loan is?
a. $2,890.
b. $4,020.
c. $2,674.
d. $3,741.
The procedure of finding the present values of cash flows expected in the future using the time value concept is called
a.
Money value
b.
Compounding
c.
Stock value
d.
Discounting
A storage tank acquired at the beginning of the fiscal year at a cost of $90,000 has an estimated residual value of $12,000 and an estimated useful life of 25 years. a. Determine the amount of annual depreciation by the straight-line method. $fill in the blank 1 b. Determine the amount of depreciation for the first and second years computed by the double-declining-balance method.
Answer:
a) The amount of annual depreciation by straight-line method = Cost of the asset - Salvage Value / Number of years in useful life
= ($90,000 - $12,000) / 25 years
= $78,000 / 25 years
= $3,120
Thus, the amount of depreciation under straight-line method is $3,120.
b) Depreciation for first year under double declining balance method = Cost of the asset / Number of years in useful life * 2
= $90,000 / 25 years * 2
= $7,200
Thus, the amount of depreciation for the first year under double declining balance method is $7,200.
Depreciation for second year under double declining balance method = Cost of the asset - First year depreciation / number of years in useful life * 2
= $90,000 - $7,200 / 25 years * 2
= $6,624
Thus, the amount of depreciation for the second year under double declining balance method is $6,624.
bruh . (i had to type an extra couple of words because it wouldnt let me send it) im just trying to make people laugh during these tough times. brainly please do not take this down. Thank you remember to social distance, wash your hands, wear masks, be safe, but most importantly have an amazing week!
Answer:
oki thank you!!
Explanation:
the answer to life the universe and everything is 42
What role should government play in a free market economy?
Answer: Stabilize the economy
Explanation:
You are graduating from college at the end of this semester and have decided to invest $ at the end of each year into a Roth IRA (a retirement investment account that grows tax free and is not taxed when it is liquidated) for the next years. If you earn percent compounded annually on your investment of $ at the end of each year, how much will you have when you retire in years? How much will you have if you wait 10 years before beginning to save and only make payments into your retirement account?
Answer:
the numbers are missing, so I looked for similar questions:
You are graduating from college at the end of this semester and have decided to invest $5,000 at the end of each year into a Roth IRA, (which is a retirement investment account that grows tax free and is not taxed when it is liquidated) for the next 45 years. If you earn 8 percent compounded annually on your investment of $5,000 at the end of each year, how much will you have when you retire in 45 years? How much will you have if you wait 10 years before beginning to save and only make 35 payments into your retirement account?
We have to determine the future value of an annuity:
FV = annual contribution x FV annuity factor
annual contribution = $5,000
FV annuity factor, 45 periods, 8% = 386.50562
FV = $5,000 x 386.505662 = $1,932.528
if you wait 10 years before starting to save, then the future value will be:
FV = annual contribution x FV annuity factor
annual contribution = $5,000
FV annuity factor, 45 periods, 8% = 172.3168
FV = $5,000 x 172.3168 = $861,584
Which of the following would be part of a financial managers investment decision?
a.
Raising money using equity finance.
b.
Spending money on Capital Expenditure.
c.
Spending money on revenue expenditure.
d.
Borrowing Funds.
Answer:
C
Explanation:
Which diagram arranges the types of business organizations from the most complicated to start to the least complicated to start?
Answer:
C. Corporation- partnership - Sole Proprietorship
Explanation:
Corporation- partnership—Sole Proprietorship is the diagram arranges the types of business organizations from the most complicated to start to the least complicated to start. Hence, option C is correct.
What is partnership?Partnership is the deal between the two person or party to start the business, partnership can be legally registered or can also start without the partnership agreement.
In partnership the investment is invested by both the partners that and the profit and loss is divided into equally.
Thus, option C is correct.
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In planning for your career after high school you should...
I need serious help I NEED to pass this test please HELP
D I think I'm only in year 7 haha
"The Boyle Company estimated that April sales would be 10,000 units with an average selling price of $2.00. Actual sales for April were 8,000 units and average selling price was $2.10. The sales volume variance was:"
Answer:
-$4,000 unfavourable
Explanation:
The sales volume variance is calculated as ;
= (Actual sales units - Estimated sales units) × Estimated selling price.
Given that;
Actual sales units = 8,000
Estimated sales units = 10,000 units
Estimates selling price = $2 per unit
Therefore,
Sales volume variance = (8,000 - 10,000) × $2
Sales volume variance = -$4,000 unfavourable
You are the HR manager for a fifty-person firm that specializes in the development and marketing of plastics technologies. When you were hired, you felt the company had little idea what you should be paid and just made up a number, which you were able to negotiate to a slightly higher salary. While you have been on the job for three months, you have noticed a few concerning things in the area of multiculturalism, besides the way your salary was offered. The following are some of those items:
1.You know that some of the sales team, including the sales manager, get together once a month to have drinks at a strip club.
2. A Hispanic worker left the organization, and in his exit interview, he complained of not seeing a path toward promotion.
3.The only room available for breast-feeding mothers is the women’s restroom.
4.The organization has a policy of offering $200 to any employee who refers a friend, as long as the friend is hired and stays at least six months.
5.The manufacturing floor has an English-only policy.
6.You have heard managers refer to those wearing turbans in a derogatory way.
Questions
1. What do you think needs to be done to create a more inclusive environment, without losing the culture of the company?
2?What suggestions would you make to those involved in each of the situations?
Answer:
read the paragraph and get the answer
For a period during which the quantity of product manufactured exceeds the quantity sold, operating income reported under absorption costing will be smaller than operating income reported under variable costing. True False
Answer:
False
Explanation:
Operating income reported under absorption costing will be smaller than operating income when quantities of products manufactured are less than the quantities sold (Sales > Production). This is because Fixed costs deferred in inventory will be falling and the costs of sales in absorption cost will be rising.
You’ve just joined the investment banking firm of Dewey, Cheatum, and Howe. They’ve offered you two different salary arrangements. You can have $68,000 per year for the next two years, or you can have $57,000 per year for the next two years, along with a $13,000 signing bonus today. The bonus is paid immediately, and the salary is paid in equal amounts at the end of each month. If the interest rate is 8 percent compounded monthly, what is the PV for both the options? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) PV Option 1 $ Option 2 $
Answer:
PV of first option ($68,000 per year) = ($68,000 / 12) x 22.10965 (PV annuity factor, 24 periods, 0.667%) = $5,666.67 x 22.10965 = $125,288.02
PV of second option ($57,000 per year + $13,000) = $13,000 + [($57,000 / 12) x 22.10965 (PV annuity factor, 24 periods, 0.667%)] = $13,000 + ($4,750 x 22.10965) = $118,020.84
You are a real estate owner in Bloomington Indiana and you have rented a house to students. You expect to make 6% per year on this leasehold investment. The terms of the lease are for 24 months and the rent is due at the beginning of the month. Your savvy renters are Kelley students and they request that the rent be paid, instead, at the end of the month. How much more will the investor receive as a result of payments at the beginning of the month rather than the student's proposed payments at the end of the month over the entire life of the lease?
Answer:
The present value of the contract is 0.5% higher if the rent is paid at the beginning of the month. That is equal to $11.28 for every $100 of rent.
Explanation:
if the rent is paid at the beginning of the month, the present value of the lease contract will be:
PV = monthly rent x PV annuity due factor
we are not given the monthly rent, but we know the PV annuity due factor for 0.5% and 24 periods = 22.67568
if the rent is paid at the end of the month, the PV = monthly rent x PV ordinary annuity factor
the PV ordinary annuity factor, 0.5%, 24 periods = 22.56287
assuming that the rent is $100 (just to calculate a %), the PV of an annuity due = $2,267.57
the PV of an ordinary annuity = $2,256.29
the difference between them = [($2,267.57 / $2,256.29) - 1] x 100 = 0.5%
Your firm has the opportunity to buy a perpetual motion machine to use in your business. The machine costs $1,000,000 and will increase your profits by $75,000 per year. What is the internal rate of return?
Answer:
7.5%
Explanation:
A forever series formula for the interest rate is i = A / PV
Annual benefits = $75,000
Present value = $1,000,000
Thus, i = $75,000 / $1,000,000
i = 0.075
i = 7.5%
Therefore, the internal rate of return is 7.5%
The bank you own has the following balance sheet: Assets Liabilities Reserves $75 million Deposits $500 million Loans $525 million Bank capital $100 million If the bank suffers a deposit outflow of $50 million with a required reserve ratio on deposits of 10%, what actions should you take
Answer:
Explanation:
Calculation of the amount of required reserve as follows:
Required Reserve = Deposit * required reserve ratio
= $500 million * 10%
= $50 million
Therefore, the bank must hold $50 million in required reserve.
It currently has $75 million in reserve so this requirement is met.
If the bank suffers a deposit outflow of $50 million
Assets Liabilities
Reserves - $25 million Deposits - $450 million
Loans - $525 million Bank capital - $100 million
So the required reserve is $450 * 10/100 = $45 million.
But in the reserve account we have only 25 million so we are falling short of $20 million. We need to maintain this required reserve so we can take following actions: 1. By borrowing $20 millions from other bank or financial institutions or corporations. 2. We can sell securities of $20 million. 3. We can borrow some money and can raise some money by issuing securities.
Walters manufactures a specialty food product that can currently be sold for $21.80 per unit and has 19,800 units on hand. Alternatively, it can be further processed at a cost of $11,800 and converted into 11,800 units of Deluxe and 5,800 units of Super. The selling price of Deluxe and Super are $31.20 and $19.80, respectively. The incremental income of processing further would be:
Answer:
$51,360
Explanation:
The computation of the incremental income of processing further is shown below:
Given that
Total sales unit before further processing is 19,800 units
And, its sale price per unit is $21.80
So, the total sales price is
= 19,800 units × $21.80
= $431,640
$483000
Now after processing, the sales revenue in both the deluxe and super is
= 11,800 units × $31.20 + 5,800 units × $19.80
= $368,160 + $114,840
= $483,000
So, the incremental net income after further processing is
= $483,000 - $431,640
= $51,360
Digital Fruit is financed solely by common stock and has outstanding 40 million shares with a market price of $20 a share. It now announces that it intends to issue $310 million of debt and to use the proceeds to buy back common stock. There are no taxes. a. What is the expected market price of the common stock after the announcement
Answer:
Digital Fruit
The expected market price of the common stock after the announcement is:
$20 per share.
Explanation:
Outstanding number of shares = 40 million
Market price of outstanding shares = $20 a share
Total market capitalization = $800 million
Debts introduced = $310 million
Market capitalization after the debt issue = $490 million ($800 - 310 million)
Number of shares bought back = $310 million /$20 = 15,500,000
Outstanding number of shares after the buy-back = 40 million minus 15.5 million
= 24,500,000 shares
Expected market price of the common stock after the announcement
= $490,000,000/24,500,000
= $20 per share
You are the manager of a firm that sells its product in a competitive market at a price of $50. Your firm's cost function is C = 40 + 5Q2. The profit-maximizing output for your firm is
Answer: Q = 5
Explanation:
In a competitive market, the profit maximising quantity is the quantity at which Marginal Cost is equal to Marginal revenue.
In a competitive market, price is equal to marginal revenue so marginal revenue is $50.
Marginal cost would be the differential of the cost function;
= 40 + 5Q²
= (2 * 5) * Q
= 10Q
10Q = 50
Q = 50/10
Q = 5