Business
Suppose that Lebanon has placed tariffs on its imports and exports. The import tariff is 13%, and the export tariff is 8%. If Lebanon has a balance of trade of (equivalent US dollars) $5,510,000 and received tariff revenue of $4,019,200, what are its imports and exports worth? a. $30,916,923 in imports, $50,240,000 in exports b. $17,040,000 in imports, $22,550,000 in exports c. $6,226,300 in imports, $5,950,800 in exports d. $4,793,700 in imports, $5,069,200 in exports.
A corporation issues for cash $8,000,000 of 20-year, 8% bonds, interest payable semiannually. The amount received for the bonds will be: a. the present value of $8,000,000 to be repaid in 20 years, less the present value of 40 semiannual interest payments of $320,000. b. the present value of 20 annual interest payments of $640,000, plus the present value of $8,000,000 to be repaid in 20 years. c. the present value of 20 annual interest payments of $640,000. d. the present value of 40 semiannual interest payments of $320,000, plus the present value of $8,000,000 to be repaid in 20 years.
Stargel Inc. common stock was $119.70 on December 31, 2014.Stargel Inc.Comparative Retained Earnings StatementFor the Years Ended December 31, 2014 and 20132014 2013Retained earnings, January 1 . . . . . . . . . . . . . .$5,375,000 $4,545,000Add net income for year . . . . . . . . . . . . . . . . . . . 900,000 925,000Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$6,275,000 $5,470,000Deduct dividends:On preferred stock . . . . . . . . . . . . . . . . . . . . . . $ 45,000 $ 45,000On common stock. . . . . . . . . . . . . . . . . . . . . . . . .50,000 50,000Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 95,000 $ 95,000Retained earnings, December 31 . . . . . . . . . . .$6,180,000 $5,375,000Stargel Inc.Comparative Income StatementFor the Years Ended December 31, 2014 and 20132014 2013Sales (all on account) . . . . . . . . . . . . . . . . . . . $10,050,000 $9,450,000Sales returns and allowances . . . . . . . . . . . . . . .50,000 50,000Net sales. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $10,000,000 $9,400,000Cost of goods sold. . . . . . . . . . . . . . . . . . . . . . 5,350,000 4,950,000Gross profit . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 4,650,000 $4,450,000Selling expenses . . . . . . . . . . . . . . . . . . . . . . .$ 2,000,000 $1,880,000Administrative expenses . . . . . . . . . . . . . . . . . 1,500,000 1,410,000Total operating expenses . . . . . . . . . . . . . . . . $ 3,500,000 $3,290,000Income from operations . . . . . . . . . . . . . . . . . $ 1,150,000 $1,160,000Other income . . . . . . . . . . . . . . . . . . . . . . . . . . .150,000 140,000 $ 1,300,000 $1,300,000Other expense (interest) . . . . . . . . . . . . . . . . . . 170,000 150,000Income before income tax . . . . . . . . . . . . . . . $ 1,130,000 $1,150,000Income tax expense . . . . . . . . . . . . . . . . . . . . . .230,000 225,000Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 900,000 $ 925,000Stargel Inc. Comparative Balance Sheet December 31, 20Y2 and 20Y1. 20Y2 20Y1 Assets Current assets: Cash $500,000 $400,000 Marketable securities 1,010,000 1,000,000 Accounts receivable (net) 740,000 510,000 Inventories 1,190,000 950,000 Prepaid expenses 250,000 229,000 Total current assets $3,690,000 $3,089,000 Long-term investments 2,350,000 2,300,000 Property, plant, and equipment (net) 3,740,000 3,366,000 Total assets $9,780,000 $8,755,000 Liabilities Current liabilities $900,000 $880,000 Long-term liabilities: Mortgage note payable, 10% $200,000 $0 Bonds payable, 10% 1,500,000 1,500,000 Total long-term liabilities $1,700,000 $1,500,000 Total liabilities $2,600,000 $2,380,000Required:Determine the following measures for 20Y2, rounding to one decimal place, except dollar amounts which should be rounded to the nearest cent. Assume 365 days a year.Return on total assets%Return on stockholders equity%Return on common stockholders equity%
Regina works as a stock clerk at The Store. She has been shortlisted to be promoted as a merchandise manager. During her promotion interview, she reveals to the interviewer that at some point in the next 10 months, she will need to undergo surgery to remove a tumor from her vertebrae and that even if the surgery is successful, her movement after the surgery could be severely limited. In her new job, however, Regina will have to frequently travel between the warehouse and the store and move around the store to ensure that the merchandise is displayed and placed properly. Which of the following holds true in this case?a. The Store may decline to promote Regina if it is reasonably certain that in the near future she will be unqualified to work as a merchandise manager.b. The Store may be required to promote Regina, even though she may be rendered unqualified in the near future, only if she agrees to defray the cost of any accommodation that may be necessary.c. Even though it appears that the surgery may result in Regina being not otherwise qualified for the new job, The Store may not decline to promote her to the new job if she is qualified at the time of the interview.d. The possibility of future disability is, under the Americans with Disabilities Act, equal to a present disability, regardless of the probability of a disability materializing.