define liquidity risk.​

Answers

Answer 1

Explanation:

Liquidity risk occurs when an individual investor, business, or financial institution cannot meet its short-term debt obligations.


Related Questions

journal entries paid commission Rs 30000​

Answers

Huh???????????????????

An all-equity firm is considering the following projects:
Project Beta IRR
W .67 9.5 %
X .74 10.6
Y 1.37 14.1
Z 1.48 17.1
The T-bill rate is 5.1 percent, and the expected return on the market is 12.1 percent.
a. Compared with the firm's 12.1 percent cost of capital, Project W has a lower expected return, Project X has a lower expected return, Project Y has a higher expected return, and Project Z has a higher expected return.
b. Project W should be rejected , Project X should be accepted , Project Y should be rejected , and Project Z should be accepted .

Answers

Answer:

Projects W and X have lower expected returns

Projects Y and Z have higher expected returns

Explanation:

Given

[tex]\begin{array}{ccc}{Project} & {Beta} & {IRR} & {W} & {.67} & {9.5\%} & {X} & {.74} & {10.6\%} & {Y} & {1.37} & {14.1\%}& {Z} & {1.48} & {17.1\%} \ \end{array}[/tex]

[tex]T\ Bill\ Rate = 5.1\%[/tex]

[tex]Expected\ Return = 12.1\%[/tex]

Solving (a): Compare the expected return of each project to 12.1%

Expected Return of each project is calculated as:

[tex]Project = T\ Bill + (Beta * (Expected\ Return - T\ Bill))[/tex]

[tex]Project = 5.1\% + (Beta * (12.1\% - 5.1\%))[/tex]

[tex]Project = 5.1\% + (Beta * 7.0\%)[/tex]

For Project W:

[tex]W= 5.1\% + (0.67* 7.0\%)[/tex]

[tex]W= 5.1\% + 4.69\%[/tex]

[tex]W= 9.79\%[/tex]

Lower Expected return

For Project X:

[tex]X = 5.1\% + (0.74 * 7.0\%)[/tex]

[tex]X = 5.1\% + 5.18\%[/tex]

[tex]X = 10.28\%[/tex]

Lower Expected return

For Project Y:

[tex]Y = 5.1\% + (1.37 * 7.0\%)[/tex]

[tex]Y = 5.1\% + 9.59\%[/tex]

[tex]Y = 14.69\%[/tex]

Higher Expected return

For Project Z:

[tex]Z = 5.1\% + (1.48 * 7.0\%)[/tex]

[tex]Z = 5.1\% + 10.36\%[/tex]

[tex]Z = 15.46\%[/tex]

Higher Expected return

There is no question in (b)

All of the following are benefits associated with empowerment except: a. empowered employees are more likely to respond in a positive way to service failures and to engage in effective service recovery strategies. b. empowered employees are more customer focused and quicker in responding to customer needs. c. empowered employees tend to feel better about their jobs and themselves, which is automatically reflected in the way they interact with customers. d. empowered front-line employees gain a false sense of power, in turn aiding the customer. e. empowered front-line service employees can be key to new service ideas and a cheaper source of market research than going to the consumer directly.

Answers

Answer:

d. empowered front-line employees gain a false sense of power, in turn aiding the customer.

Explanation:

Employee empowerment is when an employer gives the employee a degree of autonomy in making decisions that affects their jobs.

They are allowed to decide how best to perform their jobs.

This gives the employee a sense of ownership that translates to better customer service, positive attitude, better employee moral, and cheaper source of market research than going to the consumer directly.

However this style does not give a false sense to power, because the employees actually.have autonomy in their work.

The statement that does not benefits associated with empowerment is that empowered front-line employees gain a false sense of power, in turn aiding the customer.

Empowerment is known to be firm based commitment to respect all its employees as intelligent and responsible human beings.

The rewards of empowerment are numerous such as higher levels of employee satisfaction, a sense of shared purpose, and more collaboration etc.

Conclusively ,Employee empowerment as a management philosophy uses the importance of granting employees to make independent decisions and act on them.

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Annenbaum Corporation uses the weighted-average method in its process costing system. This month, the beginning inventory in the first processing department consisted of 1,400 units. The costs and percentage completion of these units in beginning inventory were:
Cost Percent Complete
Materials costs $6,700 65%
Conversion costs $7,800 45%
A total of 8,500 units were started and 6,900 units were transferred to the second processing department during the month. The following costs were incurred in the first processing department during the month:
Cost
Materials costs $126,500
Conversion costs $208,000
The ending inventory was 50% complete with respect to materials and 35% complete with respect to conversion costs. The cost per equivalent unit for conversion costs for the first department for the month is closest to:_____.
a. $18.42.
b. $19.02.
c. $19.91.
d. $17.60.

Answers

Answer: $27.14

Explanation:

First find the ending inventory:

= Beginning inventory + Units started - units transferred

= 1,400 + 8,500 - 6,900

= 3,000 units

Conversion EUP = Units transferred + (50% * ending inventory)

= 6,900 + (35% * 3,000)

= 7,950 units

Conversion cost per EUP:

= (Beginning conversion cost + month conversion cost) / EUP

= (7,800 + 208,000) / 7,950

= $27.14

The options are probably for another variant of this question.

Income Statement Project
2018 2019 2020
Revenue:
Book Sales
Ticket Sales
Total Revenue:
Expenses:
Salary
Depreciation
Supplies
Rent Insurance
Total Expense:
Net Income/Loss:
Directions: Build an income statement using the steps provided below.
1) The book store received $50,000 in book sales for 2018, with a 20% increase in revenue each year.
2) Jack's book store received $15,000 each year in ticket sales to book signing events.
3) Find the Total Revenue each year for 2018-2020 using cell referencing.
4) Jack's book store paid $16,000 in employee salaries in 2018. Each year his employee salary cost increased by 25%.
*5) Jack purchased store furniture for $25,000 that is expected to be used over the next 5 years.
6) Jack bought $3,000 in supplies in 2018 and supplies costing $1,000 were used up each year.
'7) Jack signed a contract to pay $800/month for rent between 2018-2020.
8) Jack's book store pays $500 each month to cover insurance.
9) Find the Total Expense each year for 2018-2020 using the SUM function.
10) Find the Net Income/Loss using cell referencing.

Answers

Answer:

Jack's Bookstore

Income Statement Projection:

                                    2018          2019         2020

Revenue:

Book Sales               $50,000    $60,000    $72,000

Ticket Sales                 15,000       15,000       15,000

Total Revenue:        $65,000    $75,000     $87,000

Expenses:

Salary                       $16,000     $20,000    $25,000

Depreciation               5,000          5,000         5,000

Supplies                       1,000           1,000          1,000

Rent                            9,600          9,600         9,600

Insurance                   6,000          6,000         6,000

Total Expense:      $37,600       $41,600    $46,600

Net Income/Loss: $27,400       $33,400    $40,400

Explanation:

a) Data and Calculations:

Book Sales for 2019  = $60,000 ($50,000 * 1.20)

Book Sales for 2020 = $72,000 ($60,000 * 1.20)

Salaries for 2019 = $20,000 ($16,000 * 1.25)

Salaries for 2020 = $25,000 ($20,000 * 1.25)

Depreciation expense per year = $5,000 ($25,000/5) using the straight-line method

Supplies Expense per year = $1,000 ($3,000/3)

Rent Expense per year = $9,600 ($800 * 12)

Insurance Expense per year = $6,000 ($500 * 12)

define private equity funds economics. ​

Answers

its like keeping the funds private and makeing sure no one knows alot about it

Recession, inflation, and high interest rates are economic events that are best characterized as being Group of answer choices irrelevant except to governmental authorities like the Federal Reserve. risks that are beyond the control of investors and thus should not be considered by security analysts or portfolio managers. among the factors that are responsible for market risk. company-specific risk factors that can be diversified away. systematic risk factors that can be diversified away.

Answers

Answer:

among the factors that are responsible for market risk.

Explanation:

Systemic risk are risk that are inherent in the economy. They cannot be diversified away. They are also known as market risk. examples of this risk include recession, inflation, and high interest rates. Investors should seek compensation for systemic risk. Systemic risk is measured by beta. The higher beta is, the higher the systemic risk and the higher the compensation demanded for by investors

Non systemic risk are risks that can be diversified away. they are also called company specific risk. Examples of this type of risk is a manager engaging in fraudulent activities.

Predetermined Overhead Rate, Application of Overhead to Jobs, Job Cost
On April 1, Sangvikar Company had the following balances in its inventory accounts:
Materials Inventory $12,750
Work-in-Process Inventory 21,060
Finished Goods Inventory 8,500
Work-in-process inventory is made up of three jobs with the following costs:
Job 114 Job 115 Job 116
Direct materials $2,384 $2,603 $3,085
Direct labor 1,800 1,420 4,420
Applied overhead 1,260 994 3,094
During April, Sangvikar experienced the transactions listed below.
Materials purchased on account, $28,920.
Materials requisitioned: Job 114, $16,800; Job 115, $12,460; and Job 116, $5,410.
Job tickets were collected and summarized: Job 114, 170 hours at $11 per hour; Job 115, 200 hours at $14 per hour; and Job 116, 100 hours at $19 per hour.
Overhead is applied on the basis of direct labor cost.
Actual overhead was $4,535.
Job 115 was completed and transferred to the finished goods warehouse.
Job 115 was shipped, and the customer was billed for 125 percent of the cost.
Required:
1. Calculate the predetermined overhead rate based on direct labor cost.
% of direct labor cost
2. Calculate the ending balance for each job as of April 30. When required, round your answers to the nearest dollar. Use your rounded answers in subsequent computations, if necessary.
Ending Balance
Job 114 $
Job 115 $
Job 116 $
3. Calculate the ending balance of Work in Process as of April 30. When required, round your answer to the nearest dollar.
$
4. Calculate the cost of goods sold for April. When required, round your answer to the nearest dollar.
$
5. Assuming that Sangvikar prices its jobs at cost plus -25 percent, calculate the price of the one job that was sold during April. Round to the nearest dollar.
$

Answers

Answer:

See below

Explanation:

1. Predetermined overhead rates

= Applied overhead / Direct labor

Job 114

Applied overhead / direct labor

= $1,260/1,800

= 70%

Job 115

Applied overhead / direct labor

= $994/1,420

= 70%

Job 116

Applied overhead / direct labor

= $3,094/4,420

= 70%

2 and 3 Ending balance of each job and work in process as of April 30th.

Job 114. Job116

Opening. $2,384. $3,085

Materials

Purchases $16,800. $5,410

Direct labor

($1,800+$1,800) $3,600. $5,740

Actual $2,520 $4,018

Overhead

at 59.36%

Balance $25,304. $18,253

• Note

The whole of job 115 has been sold out.

• Actual overhead = Actual overhead / direct labor

= $4,535/7,640

= 59.36%

4 Cost of goods sold in April

Job 115

Opening materials. $2,603

Purchases. $12,460

Direct labor

($1,420 + $3,080). $4,500

Actual overhead. $3,150

at 59.36%

Cost of goods sold $22,713

5. Selling price of job

Cost of job 115 = $22,713

Selling price = 1.25% × $22,713 = $28,391

Cypress Oil Company's December 31, 2021, balance sheet listed $855,000 of notes receivable and $22,500 of interest receivable included in current assets. The following notes make up the notes receivable balance: Note 1 Dated 8/31/2021, principal of $400,000 and interest at 12% due on 2/28/2022. Note 2 Dated 6/30/2021, principal of $260,000 and interest due 3/31/2022. Note 3 $200,000 face value noninterest-bearing note dated 9/30/2021, due 3/31/2022. Note was issued in exchange for merchandise.
The company records adjusting entries only at year-end. There were no other notes receivable outstanding during 2021.
Required:
1. Determine the rate used to discount the noninterest-bearing note.
2. Determine the explicit interest rate on Note 2. (Round your intermediate calculations to the nearest whole dollar amount.)
3. What is the amount of interest revenue that appears in the company’s 2021 income statement related to these notes?
Discount rate
Interest rate
Interest revenue

Answers

Answer:

1. Determine the rate used to discount the noninterest-bearing note.

face value of the notes receivable = $400,000 + $260,000 + $200,000 = $860,000

carrying value = $855,000

difference = $860,000 - $855,000 = $5,000

6 month note, so total interest = $10,000

yearly interest = $10,000 x 2 = $20,000

interest rate = $20,000 / $200,000 = 10%

2. Determine the explicit interest rate on Note 2. (Round your intermediate calculations to the nearest whole dollar amount.)

total accrued interest = $22,500

interest on note 1 = $16,000

interest on note 2 = $6,500 (six months worth of interest)

total yearly interest = $13,000

interest rate = $13,000 / $260,000 = 5%

3. What is the amount of interest revenue that appears in the company’s 2021 income statement related to these notes?

total interest = $22,500 + $5,000 = $27,500

Kally goes to the grocery store each week looking to purchase items that will give her as much utility as possible, given her $100 budget. Last week apples were priced at $4.50 each, and Kally purchased 3 apples. This week apples are on sale for $2.50 each, while all other prices have remained the same, and Kally chooses to purchase 7 apples. Given this information, plot Kally's demand curve for apples.

Answers

Answer:

Please check the attached image for kally's demand curve

Explanation:

The demand curve is a curve that shows the various quantities of a good that is purchased at different prices.

The demand curve is downward sloping due to the inverse relationship between price and quantity demanded. The higher the price, the lower the quantity demanded and the lower the price, the higher the quantity demanded. This is known as the law of demand.

It can be seen that the quantity demanded of apples increased from 3 to 7 when price reduced to $2.50

On the demand curve, price is on the vertical axis, while quantity demanded is on the horizontal axis

Answer:

Please check the attached image for kally's demand curve

Explanation:

With regard to the types of interviews: A. Reference-based interviews are best at predicting sales success. B. Situation-based interviews pose questions about past situations to predict how the candidate might respond in the future. C. Behavior and situation based interviews are highly unstructured. D. Performance based interviews are interviews conducted by senior salespeople in the field. E. None of these is correct.

Answers

Answer:

can you put a picture might be easier to read it

The statement that asserts a true claim regarding kinds of interviews would be:

E). None of these is correct.

What is an Interview?

"Interview" is described as the conversation that is taken personally and a set of questions have been asked for a publication or channel.

The given statements assert incorrect claims regarding the various types of interviews.

The reference-based interviews are taken when a person is referred by another to get a better understanding of the caliber and capability of his/her.

While Situation-based interviews pose a hypothetical situation and behavior interviews observe particular behavioral patterns.

Thus, option E is the correct answer.

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what is job description​

Answers

A job description or JD is a written narrative that describes the general tasks, or other related duties, and responsibilities of a position. It may specify the functionary to whom the position reports, specifications such as the qualifications or skills needed by the person in the job, information about the equipment, tools and work aids used, working conditions, physical demands, and a salary range. Job descriptions are usually narrative,[1] but some may comprise a simple list of competencies; for instance, strategic human resource planning methodologies may be used to develop a competency architecture for an organization, from which job descriptions are built as a shortlist of competencies.[2][not specific enough to verify]

According to Torrington, a job description is usually developed by conducting a job analysis, which includes examining the tasks and sequences of tasks necessary to perform the job. The analysis considers the areas of knowledge, skills and abilities needed to perform the job. Job analysis generally involves the following steps: collecting and recording job information; checking the job information for accuracy; writing job descriptions based on the information; using the information to determine what skills, abilities, and knowledge are required to perform the job; updating the information from time to time. [3] A job usually includes several roles. According to Hall, the job description might be broadened to form a person specification or may be known as "terms of reference". The person/job specification can be presented as a stand-alone document, but in practice it is usually included within the job description. A job description is often used by employers in the recruitment process.

A job description is concerned with addressing the following issues about the job:

Job titleJob locationJob summaryWorking environmentDuties or tasks.

What is the role of a job description?

In addition to being concerned with the above-stated issues, a job description helps management to identify the job specifications, including the environmental pressures that apply to the position.

A job description also provides the measurement criteria for performance evaluations of each job holder.

Thus, a job description addresses job-related issues.

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Uva Systems Inc. has a limited amount of direct material available for products 1A1 and 2B2. Each unit of 1A1 has a contribution margin of $12 and each unit of 2B2 has a contribution margin of $30. A unit of 2B2 uses three times as much direct material as a unit of 1A1. What is Uva's most profitable sales mix, assuming there is unlimited demand for either product

Answers

Answer:

Make All 1A1

Explanation:

Calculation to determine What is Uva's most profitable sales mix, assuming there is unlimited demand for either product

First step is to calculate the Contribution margin of 1 unit of 2B2

Contribution margin of 1 unit of 2B2 = 1 x $30

Contribution margin of 1 unit of 2B2 = $30

Second step is to calculate the Contribution margin of 3 units of 1A1

Contribution margin of 3 units of 1A1 = 3 x $12

Contribution margin of 3 units of 1A1 = $36

Based on the above calculation for both Contribution margin of 1 unit of 2B2 and Contribution margin of 3 units of 1A1 we can see that Contribution margin of 3 units of 1A1 is the most profitable sales mix.

Therefore Uva's most profitable sales mix, assuming there is unlimited demand for either product is Make All 1A1

Air United, Inc. manufactures two products: missile range instruments and space pressure gauges. During April, 50 range instruments and 300 pressure gauges were produced. Overhead costs of $94,500 were estimated and allocated to the following activities: Activities Cost Drivers Total Cost
Materials handling Number of requisitions $40,000
Machine setups Number of setups 21,500
Quality inspection Number of inspections 33,000
$94,500 The cost driver volume for each product was as follows. Cost Drivers Instruments Gauges Total
Number of requisitions 400 600 1,000
Number of setups 200 300 500
Number of inspections 200 400 600 Instructions
(a) Determine the overhead rates for each activity Expected Use Estimatedof Cost Driver/Activity-Based
Activity Cost Pools Overhead Activity OH Rates
Materials Handling/ requisition
Machine Setups/setup
Quality inspections/ inspection
(b) Assign the manufacturing overhead costs for April to the two products using activity-based costing, and calculate a per unit OH cost.

Answers

Answer:

Results are below.

Explanation:

First, we need to calculate the activity rates using the following formula:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Materials handling=  40,000 / 1,000= $40 per requisition

Machine setups= 21,500 /500= $43 per setup

Quality inspection=  33,000 / 600= $55 per inspections

Now, we can allocate overhead to each product:

Missile range instruments:

Materials handling=  40*400= $16,000

Machine setups= 43*200= $8,600

Quality inspection= 55*200= $11,000

Total allocated overhead= $35,600

Space pressure gauges:

Materials handling=  40*600= $24,000

Machine setups= 43*300= $12,900

Quality inspection= 55*400= $22,000

Total allocated overhead= $58,900

Finally, the unitary overhead cost:

Missile range instruments:

Unitary allocated overhead= 35,600/50= $712

Space pressure gauges:

Unitary allocated overhead= 58,900/300= $196.33

A cable TV company redesigned jobs so that one employee interacts directly with customers, connects and disconnects their cable service, installs their special services and collects overdue accounts in an assigned area. They also decided to do away with scripted customer interaction manuals and allow each employee to determine how best to interact with each customer. Previously, each task was performed by a different person and the customer interacted only with someone at the head office. This change most likely increased each employee's _______________. Group of answer choices

Answers

Answer:

the answer is dependence (I think, could be wrong though.)

Explanation:

Prepare journal entries to record the following transactions and events that occurred in Marilyn County during calendar year 2019:
1. The legislature adopted the following budget:
Estimated revenues and other sources:
Property taxes $1,740,000
Sales taxes 1,000,000
Use of fund balance 10,000
Total $2,750,000
Appropriations:
General government—
Salaries $ 420,000
General government—supplies 30,000
Parks department—salaries 2,000,000
Parks department—plants and supplies 300,000
Total $2,750,000
2. The Parks department placed PO 2019-1 for shrubbery in the amount of $52,000 and PO 2019-2 for gardening supplies in the amount of $11,000. The orders were charged to the appropriation for Parks department—plants and supplies.
3. The supplier delivered the shrubbery ordered on PO 2019-1; however, the supplier said he could not deliver some of the shrubs because he no longer carried them. The invoice for $49,000 was approved and forwarded to the comptroller’s office for payment; the rest of the order ($3,000) was cancelled.
4. The supplier delivered the gardening supplies ordered on PO 2019-2. She sent an invoice for $11,200 because some of the items were of a higher quality than ordered. The Parks department accepted the entire delivery and forwarded the invoice for payment.
5. Based on a mid-year review of economy, the finance director concluded that sales tax revenues would be less than the original estimate. As a result, the legislature amended the budget, reducing the sales tax estimate by $50,000 and the Parks department—plants and supplies appropriation by $35,000

Answers

Answer:

Shrubbery Expense (Dr.) $52,000

Gardening Supplies (Dr.) $11,000

Accounts Payable (Cr.) 63,000

Accounts Payable (Dr.) $3,000

Cancelled Order for Shrubbery (Cr.) $3,000

Gardening Supplies (Dr.) $200

Accounts Payable (Cr.) $200

Explanation:

Marilyn County has estimated the expense and raised PO for the park development. The park supplies and shrubbery expense are recorded on the estimated amount. The invoice received is for differential amount and the expense is recorded for the revised amount.

Following are the journal entries to the given points:

For reverse entanglements for order PO 2019-1, reverse the entry in section two (i.e., debit the budgetary fund balance and credit the encumbrances-park department plants and equipment account with the original order amount of $52,000).The order PO 2019-1 expense of $49,000 will be documented by debiting the Expenditures-Parks department plants and supplies account and crediting the vouchers payable account.For reverse impediments on order PO 2019-2, reverse the entry in section 2 (i.e., debit the budgetary cash position & credit the encumbrances-park department plants and supplies account with the initial invoice value of $11,000).An order PO 2019-2 expense of $11,200 will just be recorded by debiting the Expenditures-Parks department plants or supplies account and crediting the vouchers payable account.Sale tax money is reduced by $50,000 in the revised budget, as are funds for parks department plants and supplies by $35,000 in the revised budget. The budgetary fund balance will indeed be reduced by $15,000. (In other words, $50,000–$35,000).Please find the journal entries in the attachment file.

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Perteet Corporation's relevant range of activity is 3,300 units to 7,500 units. When it produces and sells 5,400 units, its average costs per unit are as follows: Average Cost per Unit Direct materials $ 6.20 Direct labor $ 3.15 Variable manufacturing overhead $ 1.30 Fixed manufacturing overhead $ 3.10 Fixed selling expense $ 0.60 Fixed administrative expense $ 0.30 Sales commissions $ 0.40 Variable administrative expense $ 0.45 If 4,200 units are produced, the total amount of manufacturing overhead cost is closest to: Multiple Choice $18,480 $29,970 $22,200 $15,540

Answers

Answer: $22,200

Explanation:

The total amount of manufacturing overhead cost will be gotten by adding the fixed manufacturing overhead cost to the variable manufacturing overhead cost. This will be:

Fixed manufacturing overhead cost = 5400 × $3.10 = $16740

Variable manufacturing overhead cost will be: = (7500 - 3300) × $1.30 = $5460

Therefore, the total amount of manufacturing overhead cost will be:

= $16740 + $5460

= $22,200

A company's income statement showed the following: net income, $130,000; depreciation expense, $38,000; and gain on sale of plant assets, $12,000. An examination of the company's current assets and current liabilities showed the following changes accounts receivable decreased $11,000; merchandise inventory increased $26,000; prepaid expenses increased $7,800; accounts payable increased $5,000. Calculate the net cash provided or used by operating activities.

Answers

Answer:

$138,200

Explanation:

Calculation the net cash provided or used by operating activities.

Net income $130,000

Depreciation $38,000

Gain on sale long-term asset ($12,000)

Account Receivable decreased $11,000

Inventory Increased ($26,000)

Prepaid Expenses Increased ($7,800)

Account Payable Increased $5,000

Net cash provided by operating activities $138,200

Therefore net cash provided or used by operating activities is $138,200

Shao Airlines is considering the purchase of two alternative planes. Plane A has an expected life of 5 years, will cost $100 million, and will produce net cash flows of $28 million per year. Plane B has a life of 10 years, will cost $132 million, and will produce net cash flows of $27 million per year. Shao plans to serve the route for only 10 years. Inflation in operating costs, airplane costs, and fares are expected to be zero, and the company's cost of capital is 9%. By how much would the value of the company increase if it accepted the better project (plane)

Answers

Answer:

41.28 million

Explanation:

the net present value of the two alternatives needs to be determined. The appropriate alternative would be the plane with the higher NPV

Net present value is the present value of after-tax cash flows from an investment less the amount invested.  

NPV can be calculated using a financial calculator  

Alternative 1

Cash flow in year 0 = $-100 million

Cash flow each year from year 1 to 5 =  $28 million

I = 9%

NPV = $8.91 million

Alternative 2

Cash flow in year 0 = $-132 million

Cash flow each year from year 1 to 10 =  $27 million

I = 9%

NPV = $41.28 million

The second alternative has the higher NPV and it would increase the value of the company by $41.28 million if accepted

To find the NPV 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  

A homeowner in a sunny climate has the opportunity to install a solar water heater in his home for a cost of $3,979. After installation the solar water heater will produce a small amount of hot water every day, forever, and will require no maintenance. How much must the homeowner save on water heating costs every year if this is to be a sound investment

Answers

Answer:

$198.95

Explanation:

Calculation for How much must the homeowner save on water heating costs every year if this is to be a sound investment

Using this formula

Saving =Cost *Interest rate

Let plug in the formula

Savings=3,979*5%

Savings=$198.95

Therefore How much must the homeowner save on water heating costs every year if this is to be a sound investment is $198.95

Which of the following social media influencing tactics can be described as getting someone to do or buy something because others are also doing it?
A.
Aspirational buying

B.
Bandwagon appeal

C.
Flattery

D.
Juxtaposition

Answers

Answer:

B. bandwagon appeal

Explanation:

In which one of the following instances is the rivalry among competing sellers generally
weaker?
When the industry's product is costly to hold in inventory, perishable, or seasonal
o When one or more rivals are dissatisfied with their business performance and are making
aggressive moves to attract more customers
When there are so many rivals that any one company's actions have little direct impact on
the businesses of rivals
when rivals have dissimilar costs and dissimilar industry outlooks
When competing sellers are active in making fresh moves to improve their market standing
and business performance
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Answers

Answer:

I'd say when there are so many rivals that one company's action have little direct impact on the businesses of rivals

How would the Security Market Line be affected, other things held constant, if the expected inflation rate decreases and investors also become more risk averse? a. The y-axis intercept would decline, and the slope would increase. b. The x-axis intercept would decline, and the slope would increase. c. The y-axis intercept would increase, and the slope would decline. d. The SML would be affected only if betas changed. e. Both the y-axis intercept and the slope would increase, leading to higher required returns.

Answers

Answer: a. The y-axis intercept would decline, and the slope would increase.

Explanation:

The security market line is simply refered to as the graphical representation of a CAPM which is the capital asset pricing model and it simply shows the market risk, of the securities in the market which is then plotted against the market return.

When the expected inflation rate decreases and the investors also become more risk averse, the Security Market Line would be affected, as the y-axis intercept would decline, and the slope would increase.

All of Ameliorate Inc.'s sales are on account. 60% of the credit sales are collected in the month of sale, 30% in the month following sale, and 10% in the second month following sale. The following are budgeted sales data for the company: January February March April Total sales $700,000 $500,000 $400,000 $600,000 Cash receipts in April are expected to be:

Answers

Answer:

Total cash collection= $530,000

Explanation:

Giving the following information:

Sales:

February $500,000

March $400,000

April $600,000

60% of the credit sales are collected in the month of sale, 30% in the month following sale, and 10% in the second month following the sale.

Cash collection April:

Cash collection credit sales from April= (600,000*0.6)= 360,000

Cash collection credit sales from March= (400,000*0.3)= 120,000

Cash collection credit sales from February= (500,000*0.1)= 50,000

Total cash collection= $530,000

The cash receipts in April should be $530,000.

Calculation of the cash receipts:

= Cash collection from April + cash collection from march + cash collection from february

= (60% of $600,000)  + (30% of $400,000) + (10% of $500,000)

= $360,000 + $120.000 + $50,000

= $530,000

hence, The cash receipts in April should be $530,000.

Learn more about cash here: https://brainly.com/question/24168236

Riverton Corp., which began business at the start of the current year, had the following data: Planned and actual production: 40,000 units Sales: 37,000 units at $15 per unit
Production costs: Variable: $4 per unit
Fixed: $260,000
Selling and administrative costs:
Variable: $1 per unit
Fixed: $32,000 The contribution margin that the company would disclose on a variable-costing income statement is:________.
a. None of the answers is correct.
b. $166,500.
c. $97,500.
d. $370,000.
e. $147,000.

Answers

Answer:

B. $166,500

Explanation:

Given the above information, we'll calculate fixed cost per unit.

Fixed cost per unit

= $260,000 ÷ 40,000 units

= $6.5 per unit

Then,

Sales per units

= Variable cost per unit - Fixed costs per units

= $15 - $4 - $6.5

= $4.5

Contribution margin

= $4.5 × 37,000

= $166,500

why do you think the government should regulate advertising​

Answers

Answer:

Advertising control prevents businesses from presenting false information, placing billboards in illegal locations and other prohibited actions. If a business does not follow the advertising regulations set by the government, it could face a civil suit.

Advertising control prevents businesses from presenting false information, placing billboards in illegal locations and other prohibited actions. If a business does not follow the advertising regulations set by the government, it could face a civil suit.

1 - Describe two justifications for the need for professional financial planning advice

2- Summarize the main fees a mutual fund investor will pa

3 - Your client is asking how much life insurance she needs. She expects to earn $120,000 per year on average, working for the next 30 years.
a. Suppose an appropriate earnings multiple is 18. How much life insurance should she purchase? (2 points)


b. Using a discount rate of 4%, what is her insurance need using the human value approach? (3 points)

Answers

Answer:

Financial planning is a step-by-step approach to meet one's life goals. A financial plan acts as a guide as you go through life's journey. Essentially, it helps you be in control of your income, expenses and investments such that you can manage your money and achieve your goals.

Explanation:

Kendall Company has sales of 1,000 units at $60 a unit. Variable expenses are 30% of the selling price. If total fixed expenses are $30,000. The degree of operating leverage is

Answers

Answer:

There are several ways to compute the degree of operating leverage (DOL). A fairly intuitive approach is expressed below.

DOL = (sales - variable costs) / (sales - variable costs - fixed costs)

For Kendall, the DOL is computed as follows:

DOL = (1,000 * $60 - 1,000 * $60 * .30) / (1,000 * $60 - 1,000 * $60 * .30 - $30,000) = 3.5

hope this helps

Celestin Manufacturing Company incurred $22,000 of depreciation on its manufacturing equipment during its first year of operation. During this year the company made 11,000 units of product and sold 3,700 units of product. Based on this information alone the company would show Multiple Choice $22,000 of depreciation expense on its income statement. $7,400 of cost of goods sold expense on its income statement. $22,000 of inventory on its balance sheet. $7,400 of inventory on its balance sheet.

Answers

Answer:

$7400 of cost of goods sold expense on its income statement.

Explanation:

Calculation to determine the cost of goods sold

Cost of goods sold expense=($22000 / 11000 units)x 3,700 units sold

Cost of goods sold expense= $2 per unit x 3,700 units sold

Cost of goods sold expense=$7400

Therefore Based on this information alone the company would show: $7400 of cost of goods sold expense on its income statement.

The relationship between the type of diversification and overall firm performance Multiple Choice takes on the shape of an inverted U so related diversification has the best performance. is negative, meaning that more diversification always leads to lower firm performance. there is no relationship between the type of diversification and overall firm performance. takes on the shape of a U where modest diversification has the worst performance. is positive, meaning that more diversification always leads to higher firm performance.

Answers

Answer:

takes on the shape of an inverted U so related diversification has the best performance.

Explanation:

A portfolio variance is used to determine the overall risk or dispersion of returns of a portfolio and it is the square of the standard deviation associated with the particular portfolio.

The portfolio variance is given by the equation;

[tex]Variance = w^{2}_{1} d^{2}_{1} + w^{2}_{2} d^{2}_{2}+2w_{1}w_{2}C_{OV_{1, 2}}[/tex]

Where;

[tex]w_{n}[/tex] = the weight of the nth security.

[tex]d^{2}_{n}[/tex] = the variance of the nth security.

[tex]C_{OV_{1, 2}}[/tex] = the covariance of the two security.

The relationship between the type of diversification and overall firm performance takes on the shape of an inverted U, so related diversification has the best performance.

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