Balanced Accounts As of September 30, there was a $166,000 balance due. October cash receipts are expected to total $248,000.
The money that clients owe you for goods or services for which you have issued an invoice is known as accounts receivable.
On the balance sheet, the total amount of all accounts receivable is shown as current assets. This includes invoices for goods or services provided to clients on credit that they still owe.
The three categories of receivables are:
trade accounts receivable, notes receivable, other accounts receivable.Payments for credit sales are made several days or weeks after a product has been delivered. Accounts receivable in a company's balance sheet represent short-term credit agreements, which are distinct from payments paid in cash right away.
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in these p-chart examples, which of the following is most accurate? the process is not in control because there are several points that exceed the upper limit line. the process is not in control because the first half of the points are generally below the center line, while the second half are generally above the center line. the process is not in control because the points tend to trend lower from left to right. the process is not in control because several points are less than the lower limit line.
Based on the given p-chart examples, the most accurate statement would be "the process is not in control because there are several points that exceed the upper limit line."
A p-chart is a statistical process control chart used to monitor the proportion of defective items in a sample. The chart plots the proportion of defective items against the sample size over time. The upper and lower control limits are set based on the expected variation in the proportion of defective items.
If there are several points that exceed the upper control limit, it indicates that the proportion of defective items is consistently higher than expected, which could be due to a shift in the process or the presence of a special cause.
This suggests that the process is not in control and needs to be investigated and corrected. The other options are not accurate based on the information given. The first half of the points being below the center line and the second half being above the center line, or the points trending lower from left to right, do not necessarily indicate a problem with the process. Similarly, several points being less than the lower limit line would only be a concern if the proportion of defective items is consistently lower than expected.
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The government mandate of insurance on all people is ... A. Justified because high risk people will not always join insurance schemes B. Unjustified because it is not the role of the government C. Unjustified because low risk people do not need insurance D. Justified because without it insurance schemes will fail
The government mandate of insurance on all people can be seen as both A. Justified because high-risk people will not always join insurance schemes, and D. Justified because without it, insurance schemes may fail.
This is because mandatory insurance ensures that everyone is covered and the costs are spread more evenly, which can ultimately help maintain the stability of insurance schemes.
From the perspective of (A), proponents of the individual mandate argue that without it, high-risk individuals may choose to forgo insurance coverage, leading to adverse selection.
Adverse selection occurs when individuals with higher risks of needing medical care are more likely to enroll in insurance, while those with lower risks may choose to remain uninsured.
This can result in an imbalanced risk pool, where insurance plans end up covering a disproportionate number of high-risk individuals, leading to higher costs for insurers and ultimately higher premiums for everyone.
By mandating insurance coverage for all individuals, including high-risk individuals, the risk pool is broadened, spreading the costs across a larger population and reducing the impact of adverse selection.
Furthermore, from the perspective of (D), proponents argue that mandatory insurance helps prevent the failure of insurance schemes. Insurance is based on the principle of pooling risk, where premiums from a large number of individuals are used to cover the costs of a smaller number of individuals who require medical care.
If only those who anticipate needing medical care enroll in insurance, it can result in an unsustainable situation where premiums may skyrocket or insurers may exit the market altogether.
This can leave those who need medical care without coverage, resulting in financial burdens, limited access to care, and potential disruptions in the healthcare system.
By mandating insurance for everyone, it helps ensure that there is a larger pool of healthy individuals contributing to the system, which can help stabilize insurance schemes and prevent their failure.
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What is the payback period for the following set of cash
flows?(Can I please get a full step on how to get to the
answer?)
Year
Cash Flow
0
−$ 3,200
1
2,700
2
2,600
3
2,600
4
2,700
The payback period is the length of time it takes for an investment to recoup its initial costs. payback period is 1.18 years.
To calculate the payback period for a set of cashflows, we take the initial investment and divide it by the annual cash flow. For example, in the given set of cashflows, the initial investment is -$3,200, and the annual cash flows for each year are: $2,700, $2,600, $2,600, and $2,700.
We divide the initial investment by the first annual cash flow of $2,700, which gives us a payback period of 1.18 years. This means that it will take 1.18 years for the initial investment to be recouped. The remaining cash flows will then be considered profit.
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discuss is assigning control of it budgets to user departments an effective mechanism to establish it priorities?
Assigning control of IT budgets to user departments can be an effective mechanism to establish IT priorities. This approach ensures that departments have ownership of their IT spending, which helps to ensure that IT resources are allocated in line with departmental objectives.
By giving departments control over their IT budgets, they are more likely to prioritize investments that will benefit their specific business needs. This can result in better alignment between IT and business strategies, which can lead to improved organizational performance.
Moreover, assigning control of IT budgets to user departments can also lead to greater accountability for IT spending. Departments are more likely to carefully consider their IT spending decisions when they have to justify them to management. This can result in better decision-making and improved overall performance.
However, it's important to note that assigning control of IT budgets to user departments should be done in conjunction with a centralized IT governance framework. This framework should establish clear guidelines for IT spending and provide oversight to ensure that departmental decisions align with organizational objectives.
In summary, assigning control of IT budgets to user departments can be an effective mechanism to establish IT priorities, but it should be done in conjunction with a centralized IT governance framework to ensure alignment with organizational objectives and effective use of resources.
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effective social media marketing requires engaging fans by . select one or more: a. listening to fans b. being authentic c. learning from fans
Effective social media marketing requires engaging fans by listening to fans, being authentic, and learning from fans.
By actively listening to what your fans have to say, you can better understand their needs and preferences, and tailor your content to meet those needs. Being authentic helps build trust and credibility with your audience, and shows that you are genuinely interested in their opinions and feedback. Learning from your fans allows you to continually improve your social media strategy, and stay ahead of the curve when it comes to emerging trends and best practices. Overall, engaging your fans through these key practices is essential for success in social media marketing.
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a company's next annual dividend will be $12 and that dividends after one year will have a constant growth rate of 5%. if the required rate of return is 9%, then what should the stock price and dividend yield be?
A company's next annual dividend will be $12 and that dividends after one year will have a constant growth rate of 5%. If the required rate of return is 9%. The stock price should be $315 and the dividend yield should be 4%.
To find the stock price and dividend yield:We will need to use the Gordon growth model and the dividend yield formula.
Step 1: Apply the Gordon growth model formula to calculate the stock price.
Stock Price (P) = D1 / (r - g)
Where:
D1 = Dividend in the next year
r = Required rate of return
g = Growth rate of dividends
Step 2: Calculate the dividend in the next year (D1).
D1 = Annual Dividend * (1 + g)
D1 = $12 * (1 + 0.05)
D1 = $12 * 1.05
D1 = $12.60
Step 3: Calculate the stock price using the Gordon growth model formula.
Stock Price (P) = $12.60 / (0.09 - 0.05)
Stock Price (P) = $12.60 / 0.04
Stock Price (P) = $315
Step 4: Calculate the dividend yield.
Dividend Yield = D1 / Stock Price
Dividend Yield = $12.60 / $315
Dividend Yield = 0.04 or 4%
So, the stock price should be $315 and the dividend yield should be 4%.
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the use of financial incentives to improve productivity is most closely related to which theory of motivation?
The use of financial incentives to improve productivity is most closely related to the reinforcement theory of motivation. This theory suggests that behavior can be strengthened or weakened by the consequences that follow it. In this case, the financial incentive is the consequence that is intended to strengthen the desired behavior of improved productivity.
What is Reinforcement theory of motivation.Reinforcement theory was first recognized in the work of psychologist Ivan Pavlov (behavioral conditioning) and B. F. Skinner (operant conditioning).
Reinforcement theory says that behavior is driven by its consequences. As such, positive behaviors should be rewarded positively. Negative behaviors should not be rewarded or should be punished.
The difficulty in employing this theory is that it is not always easy to determine what types of behavior should be rewarded.
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if the u.s. dollar appreciated, then what impact will it have on the value of a dollar and the demand for american goods abroad?
If the U.S. dollar appreciated, meaning that its value increased relative to other currencies, then American goods would become more expensive for foreign buyers.
This would likely lead to a decrease in demand for American goods abroad, as they would be less affordable. Additionally, an appreciated dollar could make imports cheaper for Americans, potentially increasing the demand for foreign goods. Overall, an appreciation of the U.S. dollar could negatively impact American exports and potentially lead to a trade deficit.
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A CMO has three tranches. Tranche A has a principal of $40.94 million at an annual coupon of 7.69%. Tranche B has a principal of $36.47 million at an annual coupon of 9.43%. Tranche Z has a principal of $33.79 million with an annual coupon of 11.05%. What is the weighted average coupon of the CMO? a. 8.35% b. 8.59% c. 8.82% d. 9.05%e. 9.28%
The weighted average coupon of the CMO is 9.28%. Therefore, the correct answer is E.
1. Calculate the product of each tranche's principal and its respective annual coupon rate.
Tranche A: $40.94 million x 7.69% = $3.145906 million
Tranche B: $36.47 million x 9.43% = $3.438261 million
Tranche Z: $33.79 million x 11.05% = $3.731695 million
2. Add the products from step 1.
$3.145906 + $3.438261 + $3.731695 = $10.315862 million
3. Calculate the sum of the principals for all tranches.
$40.94 + $36.47 + $33.79 = $111.20 million
4. Divide the sum from step 2 by the sum from step 3.
$10.315862 / $111.20 = 0.092759
Convert the result to a percentage by multiplying by 100:
0.092759 x 100 = 9.2759%
Therefore, weighted average coupon of the CMO with three tranches is option E: 9.28%.
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northern industries has accounts receivable of $42,300, inventory of $61,200, sales of $544,200, and cost of goods sold of $393,500. how many days, on average, does it take the firm to sell its inventory? group of answer choices 93.08 80.46 85.14 56.77 74.92
northern industries has accounts receivable of $42,300, inventory of $61,200, sales of $544,200, and cost of goods sold of $393,500. then, the average number of days it takes Northern s Industries to sell its inventory is approximately 56.77 days. The answer is 56.77.
The formula for calculating the average number of days it takes a firm to sell its inventory is:
Average Days to Sell Inventory = (Inventory / Cost of Goods Sold) x 365
Inventory = $61,200
Cost of Goods Sold = $393,500
Average Days to Sell Inventory = ($61,200 / $393,500) x 365
Average Days to Sell Inventory = 0.1556 x 365
Average Days to Sell Inventory = 56.77 (rounded to two decimal places)
Therefore, the average number of days it takes Northern Industries to sell its inventory is approximately 56.77 days. The answer is 56.77.
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Although a company's earnings are important in financial statement analysis, with respect to credit evaluations and lending decisions an analysis of its cash flows is:a. required by banking regulationsb. only important if the company has a high debt/equity ratioc. centrald. optional
The correct answer is c. central. While earnings are important in financial statement analysis, an analysis of a company's cash flows is central to credit evaluations and lending decisions.
This is because cash flows reflect the actual cash that a company has on hand to pay its debts, and therefore provide a more accurate picture of its ability to meet financial obligations. Cash flows provide a more accurate picture of a company's liquidity, solvency, and overall financial health, which are crucial factors for lenders to consider. While banking regulations may require a certain level of cash flow analysis, it is generally considered a fundamental aspect of financial statement analysis.
Thus, if a company's earnings are important in financial statement analysis, with respect to credit evaluations and lending decisions an analysis of its cash flows is c. Central.
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How can a company use the information it has gleaned from benchmarking and value chain analysis?
A. Sabotage the competition
B. Improve profitability
C. Eliminate its own cost or value disadvantages
D. Enhance competitiveness
A company can use the information it has gleaned from benchmarking and value chain analysis: Eliminate its own cost or value disadvantages. The correct option is C
The appropriate ways for a company to utilize this information include:
B. Improve profitability: By comparing its processes, products, and services to those of competitors, a company can identify areas for improvement and implement changes that can enhance profitability.
C. Eliminate its own cost or value disadvantages: Benchmarking and value chain analysis help a company recognize any cost or value disadvantages it might have. This knowledge can then be used to address and eliminate these disadvantages, making the company more competitive in the market.
D. Enhance competitiveness: Benchmarking allows a company to learn from best practices in the industry and apply those findings to its own processes. Additionally, value chain analysis helps a company understand how it can create and deliver more value to customers, ultimately enhancing its competitiveness in the market.
To summarize, a company can use the information gleaned from benchmarking and value chain analysis to improve profitability, eliminate its own cost or value disadvantages, and enhance competitiveness.
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Complete question:
How can a company use the information it has gleaned from benchmarking and value chain analysis?
A. Sabotage the competition
B. Improve profitability
C. Eliminate its own cost or value disadvantages
D. Enhance competitiveness
Julia is a business owner and is worried that one of her suppliers may sue her. She has learned that segregated funds provide creditor protection, so she purchases a contract 3 months prior to placing her company into bankruptcy. Will her segregated funds be protected from creditors in this case?
No because she purchased the contract 3 months before placing her company into bankruptcy
Yes, because the assets are in her name and not in the company name
No because segregated funds' assets are held by the insurance company
Yes, as segregated funds provide creditor protection
Julia, as a business owner, is right to be concerned about the possibility of her suppliers suing her. She has learned that segregated funds provide creditor protection and has decided to purchase a contract 3 months prior to placing her company into bankruptcy. However, her decision to purchase the contract 3 months before the bankruptcy may not provide her with the protection she was hoping for.
Generally, segregated funds provide creditor protection as they are separate from the individual's estate and cannot be seized by creditors. However, in cases where the segregated funds were purchased with the intent of defeating creditors, the funds may not be protected. This is because such actions are seen as fraudulent and can result in the funds being seized by creditors.
In this case, Julia's purchase of the segregated fund contract 3 months prior to bankruptcy may be seen as an attempt to defeat creditors, and as such, the funds may not be protected. It is important to note that the exact circumstances of each case will be examined before a final decision is made. Overall, while segregated funds may provide creditor protection, it is important to consult with a financial advisor and ensure that any actions taken are legal and ethical.
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how is the risk-free interest rate determined? multiple choice it is equal to the interest rate on u.s. government debt. it is equal to the average interest rate over a period of time. it is equal to the rate of inflation. it is equal to the risk premium.
The risk-free interest rate is determined by the interest rate on U.S. government debt. It is equal to the interest rate on U.S. government debt.
The risk-free interest rate is the rate of return an investor can expect from an investment that has zero risk of default. The U.S. government is considered to be the safest borrower in the financial markets and has a near-zero probability of defaulting on its debt obligations. As a result, the interest rate on U.S. government debt, such as Treasury bills, notes, and bonds, is used as a proxy for the risk-free rate.
The U.S. Treasury sets the interest rates on its debt based on a variety of factors, including inflation, economic conditions, and demand for U.S. Treasury securities. Therefore, the risk-free rate is determined by market forces and is an important benchmark for pricing other investments and assessing the risk and return tradeoff of investments.
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The beta of the common stock of T. Albinoni Inc. is 1.751. The 3-month U.S. Treasury Bill rate is currently 1.01%, and the expected return of the S&P 500 Index is 7.89%. The stock is traded at $50.21 per share now. Using the capital asset pricing model (CAPM), calculate the firm’s cost of external equity
T. Albinoni Inc.'s firm cost of external equity is roughly 121.42%.
To calculate the firm's cost of external equity using the Capital Asset Pricing Model (CAPM), you will need to use the following formula:
Cost of Equity = Risk-Free Rate + Beta * (Expected Market Return - Risk-Free Rate)
1. Risk-Free Rate (Rf): The 3-month U.S. Treasury Bill rate is given as 1.01%. Convert this to a decimal by dividing by 100: Rf = 0.0101
2. Beta (β): The beta of T. Albinoni Inc.'s common stock is provided as 1.751.
3. Expected Market Return (Rm): The expected return of the S&P 500 Index is given as 7.89%. Convert this to a decimal by dividing by 100: Rm = 0.0789
Now, plug these values into the CAPM formula:
Cost of Equity = 0.0101 + 1.751 * (0.0789 - 0.0101)
Cost of Equity = 0.0101 + 1.751 * 0.0688
Cost of Equity = 0.0101 + 1.204128
Cost of Equity ≈ 1.214228
To express the cost of equity as a percentage, multiply the result by 100:
Cost of Equity ≈ 121.42%
Using the CAPM, the firm's cost of external equity for T. Albinoni Inc. is approximately 121.42%.
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4. (12 points) The product manager for a brand of all-natural herbal shampoo has compiled 15 weeks of data on the weekly sales of the brand (in units), the level of media advertising (in thousands of dollars), the price (in dollars), and the use of displays (in number of stores with the brand on an end-aisle display). She then carried out a multiple regression analysis on these data in order to calculate a price elasticity. Her data and the results of the regression analysis can be seen below.
(a) Name each of the variables that were used in this multiple regression analysis. For each of these variables, indicate whether it was an independent variable or a dependent variable in this regression analysis.
(b) Use these data and the results of the regression analysis to calculate the price elasticity for this shampoo brand. Show your work.
(c) Based on the course material, describe at least two issues that should lead the product manager to not entirely trust the price elasticity calculated from this analysis.
(a) Variables: Independent Variables: Sales, Media Advertising, Price Dependent Variable: Use of Displays
(b) Price Elasticity = -2.841 Price Elasticity = (Change in Quantity Demanded / Change in Price) * (Price / Quantity Demanded)
= (-2.841) * (2.50 / 500) = -0.1136
(c) The price elasticity calculated from the regression analysis should not be entirely trusted for two reasons. First, the sample size of 15 weeks may not be large enough to provide an accurate representation of the overall demand for the shampoo.
Second, the use of displays as the dependent variable may not accurately reflect the demand for the shampoo, as displays may have been placed in stores based on other factors. Thus, the calculated price elasticity may not be an accurate representation of the true demand for the shampoo.
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Q2. You have obtained a bullet (interest only) loan for 8,000,000 at 4.875% that is due in 4 years. What is your monthly payment? What will your balloon payment amount be at month 48 (after you have made your regular payment)?
The monthly payment on the 8,000,000 bullet loan at 4.875% due in 4 years is $16,250. The balloon payment amount at month 48 (after making all regular payments) is $8,000,000.
Since this is a bullet loan with interest only payments, the monthly payment can be calculated using the formula:
Monthly Payment = (Loan Amount x Interest Rate) / 12
Plugging in the values, we get:
Monthly Payment = (8,000,000 x 0.04875) / 12 = $16,250 (rounded to the nearest cent)
The balloon payment at the end of the loan term can be calculated as the remaining principal balance on the loan. Since this is a bullet loan, the entire principal amount is due at the end of the term.
Therefore, the balloon payment amount at month 48 (after making all regular payments) is equal to the original loan amount of $8,000,000.
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A steel container weighing 90 pounds has a coefficient of friction equaling 0.61. How much force is required to move this box on a dry and clean surface?
Answer: 54.9 LBS
Explanation: got it right
shirley borrows $3,605 from second national bank. shirley will repay the loan in five equal payments of $1,000 each beginning at the end of year 1. what is the annual interest rate implicit in this agreement? multiple choice question. 27% 11% 10% 14% 12%
The annual interest rate implicit in this agreement is approximately 10%
the yearly interest price implicit in this agreement may be calculated using the present cost formula for an annuity:
present cost = charge x [(1 - (1 + r)^-n) / r]
wherein:
payment = $1,000
r = annual interest rate
n = wide variety of payments = 5
for the reason that Shirley borrowed $3,605 and will repay in 5 same payments, the prevailing price of the annuity is $3,605. therefore, we are able to set up the equation as:
$3,605 = $1,000 x [(1 - (1 + r)^-5) / r]
solving for r, we get:
r = 10.33%
Therefore, the once a year interest charge implicit on this settlement is about 10%
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ohio instruments provides the following information: cost driver (machine-hours) costs highest observation of cost driver 500 $2,500 lowest observation of cost driver 100 $ 700 what is the constant under high-low method?
The constant under the high-low method is $250.
How to calculate the constant under the high-low methodOhio Instruments provides the following information for their cost driver (machine-hours):
the highest observation of the cost driver is 500 machine-hours with a cost of $2,500, while the lowest observation is 100 machine-hours with a cost of $700.
To find the constant under the high-low method, we first need to determine the variable cost per machine-hour.
Variable cost per machine-hour = (Highest cost - Lowest cost) / (Highest machine-hours - Lowest machine-hours) = ($2,500 - $700) / (500 - 100) = $1,800 / 400 = $4.50 per machine-hour.
Next, we can find the constant by using either the highest or lowest observation.
Let's use the lowest observation:
Constant = Total cost - (Variable cost per machine-hour * Machine-hours) = $700 - ($4.50 * 100) = $700 - $450 = $250.
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this year, paula and simon (married filing jointly) estimate that their tax liability will be $210,500. last year, their total tax liability was $177,000. they estimate that their tax withholding from their employers will be $183,050. required: are paula and simon required to increase their withholdings or make estimated tax payments this year to avoid the underpayment penalty? by how much, if any, must paula and simon increase their withholding and/or estimated tax payments for the year to avoid underpayment penalties?
Since their tax withholding of $183,050 is greater than 100% of their prior year's tax liability ($177,000), they are not required to increase their withholdings or make estimated tax payments to avoid the underpayment penalty
Estimating tax paymentTheir tax withholding from their employers is estimated to be $183,050.
To avoid the underpayment penalty, they must meet one of the following criteria:
1. Their total withholding and estimated tax payments are at least 90% of their current year's tax liability.
2. Their total withholding and estimated tax payments are at least 100% of their prior year's tax liability.
Let's calculate the minimum amounts required for each criterion:
1. 90% of $210,500 = $189,450
2. 100% of $177,000 = $177,000
Since their current withholding is $183,050, they meet the second criterion and will not face an underpayment penalty.
There is no need for Paula and Simon to increase their withholdings or make estimated tax payments this year to avoid the penalty.
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brewster's is considering a project with a life of 5 years, an initial cost of $120,000, and a discount rate of 12 percent. the firm expects to sell 2,100 units a year at a cash flow per unit of $20. the firm will have the option to abandon this project after three years at which time it could sell the project for $50,000. at what level of sales should the firm be willing to abandon this project at the end of the third year?
The firm should be willing to abandon the project at the end of the third year if the annual sales level falls below 2,372 units.
To determine the sales level at which the firm should abandon the project, we first need to calculate the present value of the project's cash flows for the remaining two years, and then compare it to the abandonment value.
1. Calculate annual cash flows: 2,100 units * $20/unit = $42,000
2. Calculate the present value of cash flows for years 4 and 5:
PV(Year 4) = $42,000 / (1 + 0.12)⁴ = $26,682.07
PV(Year 5) = $42,000 / (1 + 0.12)⁵ = $23,823.26
3. Add the present values: $26,682.07 + $23,823.26 = $50,505.33
4. Since the abandonment value is $50,000, we need to find the sales level that would result in a cash flow with a present value equal to $50,000 over the remaining two years.
5. Solve for the new sales level: ($50,000 / ($26,682.07 + $23,823.26)) * 2,100 units = 2,372 units
Therefore, the firm should abandon the project at the end of the third year if annual sales fall below 2,372 units.
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Suppose trader i has utility function ui(x) = √ x.
There are two financial assets; both cost $100. Trader i is going to buy one of these.
They will both pay off after a short time. • Asset 1 pays $103 for sure. • Asset 2 pays $110 with probability 0.95, and $0 with probability 0.05. Suppose trader j has utility function uj (x) = x 2 .
Will trader i and j buy a same asset? Why?
Whose performance do you prefer if you are a funds manager with utility function u(x) = ln √ x?
As a funds manager, you prefer Trader j's performance due to the higher utility value.
To determine whether trader i and j will buy the same asset, we need to compare the expected utility of each asset for each trader.
For trader i, the expected utility of asset 1 is:
EU(Asset 1) = √103 ≈ 10.15
For asset 2, the expected utility is:
EU(Asset 2) = 0.95√110 + 0.05√0 ≈ 10.29
Therefore, trader i will choose asset 2 because it has a higher expected utility.
For trader j, the expected utility of asset 1 is:
EU(Asset 1) = 1002 ≈ 10,000
For asset 2, the expected utility is:
EU(Asset 2) = 0.95(110)2 + 0.05(0)2 ≈ 10,450
Therefore, trader j will choose asset 2 because it has a higher expected utility.
If you are a funds manager with utility function u(x) = ln √ x, you prefer the trader who has the highest expected utility because that maximizes the overall utility of the investment. In this case, trader j has a higher expected utility for both assets, so you would prefer their performance.
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the beatrice manufacturing company increased its merchandise inventory by $28,000 over the year. the company also granted its customers more liberal credit terms which increased the accounts receivable by $54,000. sales were $1,030,000 and the accounts payable decreased by $49,500. the gross profit on sales is 45%. marketing and administrative expenses were $167,000; this included depreciation expense of $26,000. what were the cash disbursements for the year?
The cash disbursements for the year were $865,000.To calculate the cash disbursements for the year, we need to use the following formula:
Cash disbursements = Cost of goods sold + Marketing and administrative expenses - Increase in accounts payable + Decrease in merchandise inventory + Increase in accounts receivable
First, we need to calculate the cost of goods sold using the gross profit percentage:
Gross profit = Sales * Gross profit percentage
$1,030,000 * 45% = $463,500
The cost of goods sold can be calcualted as Sales - Gross profit
$1,030,000 - $463,500 = $566,500
Next, we can calculate the cash disbursements using the formula:
Cash disbursements = $566,500 + $167,000 - (-$49,500) + $28,000 + $54,000
Cash disbursements = $566,500 + $167,000 + $49,500 + $28,000 + $54,000
Cash disbursements = $865,000.Therefore, the cash disbursements were $865,000.
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Nishi Corporation’s common stock just paid $0.79 dividend recently and dividends are expected to grow at a constant rate for the foreseeable future. The investors’ required rate of return on the stock is 10.89%. If the stock’s current price is $15.62 per share, what is the growth rate projected? Use the Goal Seek to find your answer. Please post pictures of your excel work and solutions. Please give a detailed explanation.
The growth rate projected for Nishi Corporation's common stock is 2.09%.
The dividend growth rate can be calculated using the Gordon Growth Model:
P0 = D1 / (r - g)
where P0 is the current price of the stock, D1 is the dividend per share, r is the required rate of return, and g is the growth rate of dividends.
Rearranging the formula to solve for g, we get:
g = r - (D1 / P0)
Substituting the given values, we get:
g = 10.89% - ($0.79 / $15.62) = 2.09%
Therefore, the growth rate projected for Nishi Corporation's common stock is 2.09%.
Excel screenshot is attached.
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mc qu. 75 camila manages a used car dealership... camila manages a used car dealership that allows customers to buy cars for no money down and pay in installments throughout the year. her company builds in a bad-debts adjustment that is deducted from the accounts receivable balance to present a more realistic view of the payments likely to be received in the future for these cars. the payments the company expects to receive are called
To provide a more accurate view of future payments, her company incorporates a bad-debts adjustment into the accounts receivable balance.
What is bad-debts adjustmentThis adjustment accounts for the possibility of customers defaulting on their payments, allowing the company to estimate the payments they expect to receive. These expected payments are known as the net realizable value of accounts receivable.
This approach is commonly used in businesses that offer financing options, as it helps to minimize the impact of potential bad debt on the company's financial statements.
By accounting for bad debt in this way, the company can present a more realistic view of its financial position and better manage its cash flow.
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an employer can access stored e-mail communications of employees using the employer's service. this is granted by the _________.
An employer can access stored e-mail communications of employees using the employer's service. This is granted by the Electronic Communications Privacy Act (ECPA). The ECPA allows employers to monitor their employees' electronic communications if they have a legitimate business reason to do so.
This includes monitoring emails sent and received through company email accounts or using company-provided devices. However, employers must still follow certain guidelines, such as notifying employees of monitoring policies and avoiding unreasonable intrusions on privacy.
It is important for both employers and employees to be aware of their rights and responsibilities when it comes to electronic communications in the workplace.
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18 HW Asgmt 10 A STRIPS traded on April 30, 2020, matures in 18 years on May 1, 2032. Assuming a yield to maturity of 4.8 percent, what is the STRIPS price? (Use Excel to answer this question, Enter y
The price of the 18-year STRIPS traded on April 30, 2020, with a yield to maturity of 4.8 percent, can be calculated using the Excel PV function
Calculate the price of the 18-year STRIPS that traded on April 30, 2020, and matures on May 1, 2032, with a yield to maturity of 4.8 percent.
Identify the information provided:- Time to maturity: 18 years, Yield to maturity (YTM): 4.8% ,Calculate the present value (price) of the STRIPS using Excel: Use the formula "=PV(rate, nper, pmt, fv)" in an Excel cell,Enter the YTM (rate) as "0.048" (convert the percentage to a decimal),
Enter the time to maturity (nper) as "18",Leave the "pmt" value blank or enter "0" (as there are no periodic payments for STRIPS), Enter the future value (fv) as "1" (assuming a face value of 1).Interpret the result: The Excel cell will display the present value (price) of the STRIPS.
The price of the 18-year STRIPS traded on April 30, 2020, with a yield to maturity of 4.8 percent, can be calculated using the Excel PV function as described above.
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the marginal utility from an additional unit of a good is positive when consumption of an extra unit of the good causes disutility. T/F
False. The marginal utility from an additional unit of a good is the additional satisfaction or utility that a consumer obtains from consuming one more unit of the good.
If the consumption of an extra unit of the good increases the total utility from consuming the good, then the marginal utility from the extra unit is positive.
Conversely, if the consumption of an extra unit of the good decreases the total utility from consuming the good, then the marginal utility from the extra unit is negative.
Thus, the marginal utility from an additional unit of a good is not necessarily positive when consumption of an extra unit of the good causes disutility.
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16. To supplement your retirement in exactly 35 years, you estimate that you need to accumulate $250,000 by your retirement date. You plan to make equal deposits at the end of each of those 35 years into a mutual fund that promises you 10% compounded annually. Determine the amount of the annual deposits.
To accumulate $250,000 in 35 years by making equal annual deposits at the end of each year, with a compound interest rate of 10%, the annual deposit needs to be $1,674.14.
To calculate the annual deposit, we can use the formula for the future value of an annuity:
[tex]FV = PMT \times [(1 + r)^n - 1] / r[/tex]
where FV is the future value, PMT is the payment, r is the interest rate, and n is the number of periods.
In this case, we know that FV = $250,000, r = 10%, and n = 35.
Substituting these values into the formula, we can solve for PMT:
$250,000 = PMT x [(1 + 10%)³⁵ - 1] / 10%
$250,000 = PMT x 137.80
PMT = $250,000 / 137.80
PMT = $1,811.60 (annual payment)
However, this solution assumes that the annual payment is made at the beginning of each year.
Since the problem states that the payment is made at the end of each year, we need to adjust the solution by calculating the present value of an annuity due, which is simply the future value of an ordinary annuity multiplied by (1 + r):
[tex]PV = PMT \times [(1 + r)^n - 1] / r \times (1 + r)[/tex]
Substituting the values we have, we get:
PV = $1,674.14 x [(1 + 10%)³⁵ - 1] / 10% x (1 + 10%)
PV = $1,674.14 x 65.44
PV = $109,491.49
Therefore, the amount of the annual deposits needed to accumulate $250,000 in 35 years is $1,674.14.
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