Answer:
7.67%
Explanation:
The Excel rate function can be used to determine the before-tax cost of debt as follows:
=rate(nper,pmt,-pv,fv)
nper=number of semiannual coupons in the remaining 20 years=20*2=40
pmt=semiannual coupon=$45
pv=current amrket price= $896.87
fv=face value=$1000
=rate(40,45,-896.87,1000)=5.11%
5.11% is the semiannual yield
yield to maturity=5.11%*2=10.22%
after-tax cost of debt=pretax cost debt*(1-tax rate)
tax rate=25%
after-tax cost of debt=10.22%*(1-25%)=7.67%
Unemployment is often called a lagging or trailing indicator because unemployment tends to rise some time after the economy begins to slow down, and unemployment begins to fall again after the economy begins to rebound. Unemployment trails GDP because:
A) laws prevent firms from reducing employment during recessions and during expansions people are still collecting unemployment insurance.
B) firms reduce hours before laying off when the economy is in recession, and increase hours before hiring when the economy expands.
C) when the economy is in a recession, firms do not want to pay unemployment insurance, and during expansions they do not want the added cost of new employees.
D) the labor force increases during recessions and shrinks during expansions.
Answer:
B) firms reduce hours before laying off when the economy is in recession, and increase hours before hiring when the economy expands.
Explanation:
In the case when the output falls so the workers would not be laid off in a direct manner. In the first time the labor would be decreased so that the demand could be analyzed. The same would be happen in that case also where the growth picked up
Therefore in the given case, the option B is correct
And the other options are wrong
Kenji has had an illness and an accident during the year. His combined out-of-pocket expense for both incidents was $1,000. The insurance company will now start to pay some of his medical expenses. What does the $1,000 represent?
a. Participation (co-insurance)
b. Deductible
c. Coordination of benefits
d. Intemal limits
Answer:
b. Deductible
Explanation:
Since in the question it is mentioned that Kenji who had an illness and had an accident during the year also the combined out of pocket expenses is $1,000.
So this $1,000 represent the deductible
hence, the correct option is b.
And the other options are wrong
Therefore the same is to be considered
Ivanhoe Corporation has fixed costs of $507,200. It has a unit selling price of $9.00, unit variable cost of $7.35, and a target net income of $1,552,000.
Required:
Compute the required sales in units to achieve its target net income.
Answer:
Break-even point in units= 1,248,000
Explanation:
Giving the following information:
Unitary contribution margin= 9 - 7.35= $1.65
Fixed costs= $507,200
Desired profit= $1,552,000
To calculate the number of units to be sold, we need to use the following formula:
Break-even point in units= (fixed costs + desired profit) / contribution margin per unit
Break-even point in units= (507,200 + 1,552,000) / 1.65
Break-even point in units= 1,248,000
In an E-Contract, what are the similarities and differences between an Online Offer and an Online Acceptance?
ANSWER:
the answer is pet your dogo
Explanation:
If there is a high supply for a product, then production would be _____.
decreased
increased
the same
none of the above
Answer:
the same i think is this correct
Answer:
increased
Explanation:
edg
Crane Corp. had total variable costs of $281,400, total fixed costs of $130,350, and total revenues of $420,000. Compute the required sales in dollars to break even.
Answer:required sales to break even=$395,000
Explanation:
Break Even Sales = Fixed Expenses / Contribution Margin
But
Fixed Costs /Expenses is given as $130,350
And
Contribution Margin Ratio is solved as (Total Revenue - Variable Cost) / Total Revenue x 100
= ($420,000-$281,400)/ $420,000 x 100
=0.33 x 100
= 33%
Break Even Sales = $130,350/33%
= $395,000
The next dividend payment by ASAP, Inc., will be $2.00 per share. The dividends are anticipated to maintain a 4.00% growth rate, forever. If ASAP stock currently sells for $14.75 per share, what is the required return?
Answer:
r = 0.175593 or 17.5593% rounded off to 17.56%
Explanation:
Using the constant growth model of dividend discount model, we can calculate the price of the stock today. The DDM values a stock based on the present value of the expected future dividends from the stock. The formula for price today under this model is,
P0 = D1 / (r - g)
Where,
D1 is dividend expected for the next period /year g is the growth rate r is the required rate of return
Plugging in the values for D1, P0 and g, we can calculate the value of r to be,
14.75 = 2 / (r - 0.04)
14.75 * (r - 0.04) = 2
14.75r - 0.59 = 2
14.75r = 2 + 0.59
r = 2.59 / 14.75
r = 0.175593 or 17.5593% rounded off to 17.56%
In the ____ and ____ stages of product life cycle, firms often set priorities on growth and/or market share
Answer:
In the introduction and early growth stages of the product life cycle, firms often set priorities on growth and/or market share
Explanation:
On January 1 a man deposit $5000 in a credit union that pays 8% interest, compounded annually. He wishes to withdraw all the money in five equal end-of-years sums, beginning December 31st of the first year. How much should he withdraw each year?
Answer:
he should withdraw $1,252.5 each year.
Explanation:
The computation is shown below:
Given that
Initial deposit (P) = $5,000
n = 5
i = 8%
Now the withdrawal amount is
AW = P(A/P, i, n)
= $5,000 (A/P, 8%, 5)
= $5,000(0.2505)
= $1,252.5
Therefore, he should withdraw $1,252.5 each year.
We simply applied the above formula so that the correct value could come
And, the same is to be considered
There is a zero coupon bond that sells for $4,550.90 and has a par value of $10,000. If the bond has 18 years to maturity, what is the yield to maturity'? Assume semiannual compounding.
A. 4.47%
B. 4.27%
C. 4.31%
D. 4.24%
E. 4.42%
Answer:
E. 4.42%
Explanation:
Calculation for the yield to maturity
First step is to calculate the Current price using this formula
The Current price=Par value/(1+yield to maturity/2)^(2*Time period)
$4,550.90=$10,000/(1+yield to maturity/2)^(2*18)
(1+yield to maturity/2)^36=($10,000/$4,550.90)
1+yield to maturity/2=($10,000/$4,550.90)^(1/36)
Now let calculate the yield to maturity
Yield to maturity/2=1.0221092-1
Yield to maturity=0.0221092*2
Yield to maturity=0.0442*100
Yield to maturity=4.42%
Therefore the Yield to maturity will be 4.42%
A machine operates with the following production cycle:
29 minutes of setup, 90 minutes of production. While in production, the machine produces 4 parts per minute.
Required:
What is the capacity of the machine in parts per minute?
Answer:
The capacity of the machine in parts per minute is 3 parts per minute
Explanation:
The Total time = 29 + 90
The Total time = 119 minutes
Total production = 4*90
Total production = 360 units
The capacity = 360/119
The capacity = 3.02521
The capacity = 3 parts per minute
Thus, the capacity of the machine in parts per minute is 3 parts per minute
Disposable personal income: a. excludes transfer payments. b. includes personal income taxes. c. is income spent for personal items such as homes and cars. d. excludes personal income taxes
Answer:
d. excludes personal income taxes
Explanation:
Disposable personal income excludes personal income taxes.
A disposable income can be defined as an amount of money remaining after the deduction of income taxes, and social security fees.
principals of manegment
Answer:
The answer is "Option d".
Explanation:
The management team consists of the coordination of any resources in the preparation, organization, analysis, and administration of the project to reach specific goals.
It is how something will be handled, treated intently, monitored, or managed by a company or group. Managers work as planners, supervisors, and managers thru the four roles, administrators, which focus on making their staff, processes, projects, and companies more efficient and effective in all fields.An agreement to purchase goods and services with a specified percentage of proceeds from an original sale in that country from any firm in the country is called:
a. a counterpurchase.
b. an offset.
c. switch trading.
d. spot trading. barter.
Answer:
B)an offset.
Explanation:
If a company’s net income increased while its net sales remained constant, the company's profit margin would:_____
a. Compare favorably to its competitors.
b. Decrease.
c. Increase.
d. Not be impacted.
Answer:
c. Increase.
Explanation:
If a company’s net income increased while its net sales remained constant, the company's profit margin would increase.
This is simply because the amount of money that is being generated from the sales of goods and services are increasing.
Jim had a car accident in 2019 in which his car was completely destroyed. At the time of the accident, the car had an adjusted basis of $40,000. Jim used the car 100% of the time for business use. He received an insurance recovery of 70% of the value of the car at the time of the accident. If Jim’s AGI for the year is $60,000, determine Jim's deductible loss on the car.
Answer:
the deductible loss on the car is $12,000
Explanation:
The computation of the Jim deductible loss on the car is shown below:
Given that
Car value = $40,000
Insurance recovery = 70%
Now the deductible loss is
= Car value - (car value × insurance recovery)
= $40,000 - ($40,000 × 70%)
= $40,000 - $28,000
= $12,000
hence, the deductible loss on the car is $12,000
Convert each of the following estimates of useful life to a straight-line depreciation rate, stated as a percentage: (a) 10 years, (b) 8 years, (c) 25 years, (d) 40 years, (e) 5 years, (f) 4 years, (g) 20 years. If required, round your answers to one decimal place. Years Percentage a. 10 years fill in the blank 1 % b. 8 years fill in the blank 2 % c. 25 years fill in the blank 3 % d. 40 years
Answer:
Conversion of Estimates of Useful Life to Straight-line Depreciation Rate:
Useful Life Straight-line
Depreciation Rate
(a) 10 years 10%
(b) 8 years 12.5%
(c) 25 years 4%
(d) 40 years 2.5%
(e) 5 years 20%
(f) 4 years 25%
(g) 20 years 5%
Explanation:
a) Data and Calculations:
Straight-line
Useful Life Depreciation Rate Conversion
(a) 10 years 10% 100/10
(b) 8 years 12.5% 100/8
(c) 25 years 4% 100/25
(d) 40 years 2.5% 100/40
(e) 5 years 20% 100/5
(f) 4 years 25% 100/4
(g) 20 years 5% 100/20
Suppose US$1 = €0.7809 in New York and US$1 = €0.7793 in Paris. How can foreign exchange traders profit from these exchange rates? What actions can they take that may result in the same dollar/euro exchange rate in both New York and Paris? Please limit your response to one or two reasonably-sized paragraphs.
Answer:
If a Dollar is worth $ 0.7809 Euros in New York, and $ 0.7793 Euros in Paris, the way in which foreign exchange traders could obtain an economic profit through this difference would be by buying Euros in Paris, and selling them again in New York. Thus, they would obtain $ 0.016 of profit for each Euro traded in the market, with which, for example, if $ 1,000,000 of Euros were traded, a total profit of $ 16,000 would be obtained. In turn, trading the same amount in both Paris and New York, traders would not make any profit, equating both exchange rates.
Nervous Norman holds 70% of his assets in cash, earning 0%, and 30% of his assets in an insured savings account, earning 2%. The expected return on his portfolio Group of answer choices is 1%. cannot be determined without knowing what the dollar value of his assets is. is 2%. is 0.6% is 0%.
Answer: 0.6%
Explanation:
The expected return is a weighted average of the returns of the assets invested in.
70% is invested in cash which earns 0%
30% is in a savings account earning 2%
Expected return = (70% * 0%) + (30% * 2%)
= 0% + 0.6%
= 0.6%
- How would demand have to change for a price change to be unitary elastic?
Answer:
The percentage change in quantity demanded is exactly equal to the percentage change in price. The percentage change in quantity demanded is exactly equal to the percentage change in price.
Jacklyn carves ice sculptures. She carves and sells 10 sculptures. Her average cost of production per sculpture is $50. She sells each sculpture for a price of $150. Jacklyn's total profits are:______
a. $150.
b. $1,000.
c. $500.
d. $1,500.
Answer:
b. $1,000
Explanation:
To start with, we know that the formulae for total profit is;
= total revenue - total cost.
Total revenue
= price × quantity
= $150 × 10
= $1,500
Total cost
= units sold × average cost of production per sculpture
= 10 × $50
= $500
Therefore,
Total profit = $1,500 - $500
Total profit = $1,000
Scott, the chief operating officer of Barcelona Restaurant Group, tells his managers that Barcelona's philosophy is to:
Answer:
the question is incomplete, so I looked for a similar one:
COO, Scott Lawton, discusses Barcelona’s philosophy on allowing restaurant managers to make their own decisions. They hire and train managers that they believe have the "creativity and brain power" to be successful.
Which type of role is Scott performing?
What type of management approach exists in Barcelona?
Scott is performing an interpersonal role since the question describes his actions regarding restaurant managers and how he allows them to basically operate as independent business units. Scott if the figurehead of Barcelona, but at the same time gives lower level managers a lot of freedom.
This type of management can be described as the humanistic perspective management since employees are empowered.
If
you are
using $50 to buy your groceries, which function of money is
this?
Answer:
Medium of Exchange
Explanation:
A medium of exchange is an instrument used as an intermediary to facilitate the exchange of goods and services. A good medium of exchange must give a fair valuation of the items being traded. Money is a widely accepted medium of exchange.
Almost all items in a market have a monetary value attached to them. A Buyer or seller would easily know the amount of money needed to trade an item. The $50 is being used as a medium of exchange for the purchase of groceries. The seller accepts the money if they agree with the buyer on the quantity of groceries worth $50.
The Fried Green Tomatoes Restaurant has increased its operating cycle from 97.4 days to 101.7 days while the cash cycle has decreased by 2.9 days. How have these changes affected the accounts payable period?
a. Decreased by 11 days
b. Decreased by 5 days
c. Decreased by 1 day
d. Increased by 5 day
e. Increased by 11 days
Answer:
Increased by 7.2 days
Explanation:
As in the question it is mentioned that the operating cycle is increased from 97.4 days to 101.7 days so the difference in days is
= 101.7 days - 97.4 days
= 4.3 days
And, the cash cycle is decreased by 2.9 days
So, the total number of days would be
= 4.3 days + 2.9 days
= 7.2 days
These have been the negative impacts
The options that are mentioned in wrong and the above is the righ answer
Riverbed Inc. purchased land, building, and equipment from Laguna Corporation for a cash payment of $327,600. The estimated fair values of the assets are land $62,400, building $228,800, and equipment $83,200. At what amounts should each of the three assets be recorded
Answer:
Land=$54,600, Building = $200,200, Equipment = $72,800
Explanation:
Total Asset Fair Value = Land + Building + Equipment
Total Asset Fair Value = 62,400 + 228,800 + 83,200
Total Asset Fair Value = 374,400
Recorder Amount
Land = 62,400 / 374,400 * 327,600 = $54600
Building = 228,800 / 374,400 * 327,600 = $200200
Equipment = 83,200 / 374,400 * 327,600 = $72,800
Executives at worldcom committed an $11 billion fraud by capitalizing costs that should have been expensed. What was the effect of this fraud on worldcom's income statement?
Answer:
net income was too high, expenses were too low
Explanation:
From the question, we are told about how Executives at worldcom committed an $11 billion fraud by capitalizing costs that should have been expensed. In this case the effect of this fraud on worldcom's income statement is that net income was too high, expenses were too low. An income statement which can also be regarded as "profit and loss" account is a financial statement that gives the revenue as well as the expenses of a company at a particular period, so if the Executive capitalize costs that should have been expensed then it equates to the net income been too high while expenses were too low.
Barbara's Bakery purchased three new 7-year assets last year. She chose NOT to use Section 179 immediate expensing or take bonus depreciation. The furnishings were purchased for $15,000 in April, the equipment for $6,000 in July, and the appliances for $40,000 in November. What amount of depreciation expense is allowable in the current (second) year of ownership?
a. $16,806
b. $14,939
c. $16,163
d. $16,072
Answer:
b. $14,939
Explanation:
Property placed in service in 1st year:
Amount $
2nd quarter 15,000
3rd quarter 6,000
4th quarter 40,000
Total furnishing at beginning of 2nd Year $61,000
Half Year depreciation rate in 2nd Year as per Macrs table under "7 years life" assets, the applicable depreciation in the 2nd year is 24.49%
Thus, amount of depreciation expense is allowable in the current (second) year of ownership = $61,000 * 24.49% = $14938.90
Write a sample greeting you would record on your professional cell phone to be heard by employers and recruiters if they reach your voice mail.
Answer:
This is (your name) with (say the company) I can not come to the phone right now but please leave a message and I will call you back.
Answer: Hello, you’ve reached (Your First and Last Name).
Sorry I wasn’t able to take your call, but please leave your name and a detailed message and I’ll get back to you.
Have a great day.”
In the reconciliation of the June bank statement, a deposit made on June 30 did not appear on the June bank statement. In preparing the bank reconciliation, this deposit in transit should be
a. subtracted from the unadjusted book balance.
b. added to the unadjusted bank balance.
c. subtracted from the unadjusted bank balance.
d. added to the unadjusted book balance.
Answer:
b. added to the unadjusted bank balance.
Explanation:
in the given case since the deposit is made as on June 30 and does not appear in the bank statement so while preparing the bank reconciliation the deposit in transit should be added to the non-adjusted bank balance as the bank did not received these deposits yet
But in the case of the company it already received it
hence, the correct option is b.
When each additional worker hired contributes less than the previous worker hired to total output, we can say there are (is):_______
a. falling average productivity
b. diminishing marginal utility
c. diminishing average returns
d. diminishing marginal returns
Answer:
d. diminishing marginal returns
Explanation:
The diminishing marginal returns refer to a reduction in the marginal output where the value of the single factor would be rises keeping all other production factors the same or constant
Since in the question it is mentioned that for each extra worker hired that contributes would be lesser than the earlier worker hired
So this represents the diminishing marginal returns
hence, the option d is correct