The statement on subprime lending that is false is B. If a home owner is unable to afford the mortgage payments, the homeowner can always pay off the mortgage by selling the home.
Why can the homeowner not make back the money ?"If a homeowner is unable to repay the mortgage payments, the homeowner can always pay off the mortgage by selling the home," is a misleading assertion about subprime lending.
This statement is not necessarily true because falling home prices can make it difficult for homeowners to sell their homes for a price that will cover their outstanding mortgage balance. In fact, during the 2008 financial crisis, many homeowners were unable to sell their homes and were left with unaffordable mortgage payments, leading to a wave of foreclosures and defaults on subprime loans.
Find out more on subprime lending at https://brainly.com/question/12878458
#SPJ1
There are several different sources of law. Please explain three
(3) sources of law and how each of the three (3) interrelate with
each other within the Canadian Legal System
The three sources are:
The Constitution
Legislation
The Courts
Just need help with the second part how the interrelate
The Canadian legal system is a mix of common law and civil law. The Constitution is the highest form of law, and it sets out the structure of the country, the rights and freedoms of its citizens, and the powers of government.
Legislation is enacted by governments, and it includes statutes, regulations, and ordinances. The courts are the third source of law, and their rulings and decisions provide the interpretation and enforcement of the other two sources of law. All three sources of law interact and influence each other, ensuring that the legal system is consistently and accurately applied.
Learn more about Canadian legal system
https://brainly.com/question/25310315
#SPJ11
after reading the Banana Trick and Other Acts of Self-Checkout Thievery article, please answer the following discussion questions.
What were the big takeaways of the article for companies?
What were the most important implications of the article for consumers?
Given what you have learned this week, why do you think so many consumers feel entitled to steal during self-checkout versus regular checkout?
The main takeaway for companies from the article "Banana Trick and Other Acts of Self-Checkout Thievery" is that self-checkout systems are vulnerable to theft and require better monitoring and security measures.
Companies need to invest in better technology and staff training to prevent losses from self-checkout theft. The article also highlights the importance of addressing the underlying causes of theft, such as the high cost of goods and a sense of entitlement among some consumers.
For consumers, the article highlights the risks and consequences of engaging in self-checkout theft. It warns that consumers who engage in theft may face legal consequences and damage their reputation, as well as contribute to higher prices for everyone.
Based on this week's learning, the sense of entitlement among some consumers to steal during self-checkout versus regular checkout may be influenced by a variety of factors, including the anonymity of the transaction, the perceived low risk of getting caught, and a lack of personal interaction with a cashier.
Additionally, some consumers may feel justified in stealing due to factors such as high prices or dissatisfaction with the company.
For more questions like Checkout click the link below:
https://brainly.com/question/25828245
#SPJ11
A firm wants to issue bonds with a total face value of $28.9 million. The bonds will be coupon bonds with a maturity of 6 years. The firm estimates investors will require a yield-to-maturity of 5.9%. If the firm wants to issue the bonds to investors at par value, what should it select as its coupon rate? Enter your answer in decimal format showing four decimal places. That is, if your answer is 3.5%, enter .0350.
The firm should select a coupon rate of 5.9000% to issue the bonds to investors at par value.
The coupon rate is the annual interest payment divided by the face value of the bond, expressed as a percentage. Since the bonds are being issued at par value, the coupon rate will be the same as the yield-to-maturity.
To calculate the annual interest payment, we first need to find the total interest payments over the life of the bond. This can be done using the following formula:
Total interest payments = face value x coupon rate x time
where face value is $28.9 million, coupon rate is unknown, and time is 6 years.
We can plug in the given yield-to-maturity of 5.9% as the coupon rate and solve for the total interest payments:
Total interest payments = $28.9 million x 0.059 x 6 = $10,254,600
Now we can solve for the coupon rate using the following formula:
Coupon rate = total interest payments / (face value x time)
Coupon rate = $10,254,600 / ($28.9 million x 6) = 0.0590 or 5.9000%
Therefore, the firm should select a coupon rate of 5.9000% to issue the bonds to investors at par value.
Learn more about Total interest payments
https://brainly.com/question/28106750
#SPJ11
he purpose of this is to gain a better understanding of internal controls. Internal control is the process designed to ensure operational effectiveness and efficiency. At its core, internal control safeguards the assets against theft and unauthorized use. Share an experience where you have had to deal with an ethical dilemma either in the workplace or in your personal life. What was the scenario, how was it detected, and what was the remediation? If you have not experienced a dilemma, share your ideas on what could constitute a breach of ethics in the workplace and damages it could potentially cause.
Internal controls are the processes designed to ensure operational effectiveness and efficiency. Their core purpose is to safeguard the assets against theft and unauthorized use.
One of the ethical dilemmas that could happen in the workplace is the conflict of interest. For instance, when an individual puts personal interests above the company’s interests, it becomes a breach of ethics in the workplace.
Below is an explanation of the scenario, how it was detected, and the remediation of the breach of ethics.
Internal control scenario:
Detecting a breach of ethics can be challenging. In one of my previous workplaces, I witnessed one of my colleagues in the finance department redirecting company funds to her personal account.
I noticed this when I reviewed the company's budget and saw that some funds were missing. After conducting an investigation, we realized that the colleague in the finance department was responsible for the fraud.
Remediation:
We reported the fraud to our seniors, and an internal audit was conducted. The colleague was removed from the company, and legal action was taken against them.
The company also put measures in place to avoid a similar situation from happening in the future, and the accounts department was made to be more accountable.
Ethical dilemma in the workplace:
One of the most common ethical dilemmas in the workplace is a conflict of interest. It happens when an individual puts their interests above the company’s interests.
For instance, when an employee uses company resources to perform personal business or if an employee promotes their side businesses to clients, it could be considered as a conflict of interest.
The potential damages of a breach of ethics in the workplace could result in the loss of credibility, a decline in employee morale, and the loss of customer trust.
To learn more about internal controls, refer below:
https://brainly.com/question/29607680
#SPJ11
You are the newly-appointed financial manager of Bull Ltd which is a listed
company. The managing director has asked you to assess whether the
company’s ordinary shares are correctly priced at present and to determine
the company’s cost of capital. Based on your enquiries, you have
ascertained the following:
The company’s expected returns, and their subjective probabilities assigned by leading
securities brokers in various market conditions, are set out below:
Market condition Probability
of
condition Market
returns
(%) Return on Barco’s
Ordinary shares
(%)
Very poor 0.10 –10 –20
Poor 0.20 5 –5
Average 0.40 20 30
Good 0.20 35 50
Very good 0.10 50 60
1. The projected risk-free rate is 10% per annum for the foreseeable future.
2. The company is in a tax-paying position, and its current tax rate is 35%.
3. The company’s present capital structure, which is considered optimal at
current market values, is as follows:
• 1 000 000 ordinary shares in issue. The current share price is N$6.50
• 16% cumulative, redeemable preference shares at a total carrying
amount of N$1 100 000. These shares are redeemable in five years’
time at the carrying amount and similar preference shares are trading at
an 18% yield per annum. The current dividend has just been paid and
you are confident that future dividends will be paid at the end of each
year until redemption.
• 12% irredeemable debentures at a total carrying amount of N$3 750 000.
The market interest rate for similar debentures is 15%.
Required
(a) Apply the capital asset pricing model (CAPM) to determine if the
company’s ordinary shares are correctly priced at present. (8 marks)
(b)Determine the company’s current weighted average cost of capital. (12 marks)
(c)Explain why investors are concerned with the systematic rather than the total risk of
a share, and explain how systematic risk is measured. (5 marks)
a) To assess whether Bull Ltd ordinary shares are correctly priced, you must apply the Capital Asset Pricing Model (CAPM). The CAPM allows us to calculate a required return that equates the expected return to the risk level of the asset. The formula for the CAPM is:
Required return = Risk-free rate + (Expected market return - Risk-free rate) * Beta
Using the data provided, you can calculate the expected return and beta of the company. Expected return is the weighted average return of each market condition, weighted by its probability. So the expected return for Bull Ltd's ordinary shares is (0.10)(-20%) + (0.20)(-5%) + (0.40)(30%) + (0.20)(50%) + (0.10)(60%) = 28%.
Beta measures systematic risk and is calculated as the weighted average of the betas of each market condition, weighted by its probability. So the beta for Bull Ltd ordinary shares is (0.10)(-2.0) + (0.20)(-1.0) + (0.40)(1.0) + (0.20)(2.0) + (0.10)(2.5) = 0.8.
Using the formula, the required return is 10% + (28%-10%)*0.8 = 20.8%. Since the required return is less than the current market return (30%), this implies that the company's ordinary shares are correctly priced.
b) The company's weighted average cost of capital (WACC) can be calculated using the following formula: WACC = (E/V) * Re + (D/V) * Rd * (1-T), where E is the market value of the company's equity, V is the market value of the company's total capital, Re is the company's required return on equity, D is the market value of the company's debt, Rd is the company's cost of debt, and T is the company's tax rate.
Using the data provided, the WACC for Bull Ltd can be calculated as: WACC = (1 000 000/4 750 000) * 20.8% + (3 750 000/4 750 000) * 15% * (1-0.35) = 10.86%.
c) Investors are concerned with the systematic rather than the total risk of a share because systematic risk is the risk of the entire market and cannot be diversified away. Systematic risk is measured using beta which measures the sensitivity of a security's returns to market returns. A higher beta indicates a higher level of systematic risk.
To know more about Systematic risk refer here :
https://brainly.com/question/24177720#
#SPJ11
question 2 (exercise 2.1 from textbook) in this exercise, we will analyze the supply-demand equilibrium of a monocentric city. the standard set-up is assumed in that the city is circular, all jobs are located at a central business district (cbd) and residents commute radially to work at the cbd. here distance is measured in blocks. the residents consume two goods: bread (c) and dwelling size (q). the price of bread is $1 and the price per square foot of housing is denoted by p. now for ease of calculations, we will make some special simplifying assumptions about landuse: (i) all dwellings must contain exactly 1500 square feet of floor space, so regardless of location q
In this exercise, we are analyzing the supply-demand equilibrium of a monocentric city, taking into account the consumption of two goods: bread (C) and dwelling size (Q).
The price of bread is $1 and the price per square foot of housing is denoted by P. We are also given some simplifying assumptions about land use, namely that all dwellings must contain exactly 1500 square feet of floor space, regardless of location. This means that the main factor that determines the price of housing is the distance from the CBD.
To analyze the supply-demand equilibrium of this monocentric city, we need to consider the relationship between the price of housing (P), the distance from the CBD (D), and the demand for housing (Q). The demand for housing will be affected by the price of bread (C) and the cost of commuting (T), which is determined by the distance from the CBD.
The supply-demand equilibrium is reached when the quantity of housing demanded is equal to the quantity of housing supplied. This occurs at the point where the demand curve intersects the supply curve. In a monocentric city, the supply curve will be upward-sloping, as the price of housing increases with distance from the CBD. The demand curve will be downward-sloping, as the demand for housing decreases with distance from the CBD.
To find the supply-demand equilibrium, we need to solve for the price of housing (P) and the distance from the CBD (D) that satisfy the following equations:
Q = 1500 - P*D
C + T = P*D
By substituting the second equation into the first, we can solve for the price of housing (P) in terms of the distance from the CBD (D):
1500 - P*D = C + T
P = (1500 - C - T)/D
This equation shows that the price of housing (P) is determined by the distance from the CBD (D), the price of bread (C), and the cost of commuting (T). By plugging this equation back into the first equation, we can solve for the distance from the CBD (D) in terms of the price of housing (P):
Q = 1500 - P*D
D = (1500 - Q)/P
This equation shows that the distance from the CBD (D) is determined by the price of housing (P) and the demand for housing (Q). By solving these equations simultaneously, we can find the supply-demand equilibrium of this monocentric city.
To know more about supply-demand equilibrium refer here:
https://brainly.com/question/24929236
#SPJ11
Sierra Company manufactures soccer balls in two sequential processes: Cutting and Stitching. All direct materials enter production at the beginning of the Cutting process. The following information is available regarding its May inventories: Beginning Inventory Ending Inventory Work in process inventory—Cutting 103,500 90,500 Work in process inventory—Stitching 123,300 79,100 Finished goods inventory 32,100 20,250 The following additional information describes the company's production activities for May
The solutions are $71,695 for Cutting to Stitching production cost, $330,275 for Stitching to finished goods production cost and $342,125 for Cost of goods sold.
Total cost of production in Cutting = $132,195
Total cost of work in process inventory - Cutting = $60,500
Cost of goods transferred from Cutting to Stitching = Total cost of production in Cutting - Ending inventory of work in process - Cutting
= $132,195 - $60,500
= $71,695
Total production cost in the Stitching = $381,775
Total cost of work in process inventory - Stitching = $51,500
Cost of goods transferred from Stitching to the finished goods = Total cost of production in Stitching - Ending inventory of work in the process - Stitching
= $381,775 - $51,500
= $330,275
Cost of goods sold = Cost of goods available for the sale - Ending finished goods inventory
= $350,375 - $8,250
= $342,125
learn more about production cost here
https://brainly.com/question/20597435
#SPJ4
Assume that a Proprietary Hospital's audited Financial Statements for year ending 31 December 2024 showed the following :
Hospital related activities
Gross receipts P 10.200.000
Cost of services 5.916.000
Operating expenses or allowable deductions 2.040.000
Unrelated business activities
Gross sales 8.000.000
Cost of sales 3.360.000
Operating expanses or allowable itemized deductions 536.000
Total assets excluding the value of the land where its business entity's office and equipment are situated 50.000.000
Required :
a. compute income tax due or payable for year 2024
b. explain your answer
a. The income tax due or payable for the year 2024 is P1,904,400.00. b. The income tax is calculated by dividing financial statements into two categories: hospital-related activities and unrelated business activities. Income tax is calculated for each and added.
a. As the income tax due or payable for the year 2024 is requested, we will utilize the below computation:
Hospital-related activities:
Gross receipts: P10,200,000.00
Less: Cost of services: (P5,916,000.00)
Operating expenses: (P2,040,000.00)
Taxable income: P2,244,000.00
Rate: 30%
Tax due or payable: P673,200.00
Unrelated business activities:
Gross sales: P8,000,000.00
Less: Cost of sales: (P3,360,000.00)
Operating expenses: (P536,000.00)
Taxable income: P4,104,000.00
Rate: 30%
Tax due or payable: P1,231,200.00
Total Tax Due or Payable: P1,904,400.00
b. As we can see, we have computed the tax due or payable based on the information given in the hospital's audited financial statements for the year 2024. To compute the hospital's income tax due or payable for the year 2024, we split the hospital's financial statements into two categories: hospital-related activities and unrelated business activities.
We've computed the hospital-related activity's gross receipts and deducted the cost of services and operating expenses to arrive at the taxable income. Then, using a rate of 30%, we computed the tax due or payable. We've done the same thing for the unrelated business activity, subtracting the cost of sales and operating expenses from the gross sales to arrive at the taxable income before computing the tax due or payable.
Finally, we added the two tax due or payable together to arrive at the hospital's total tax due or payable for the year 2024.
Learn more about Income tax:
https://brainly.com/question/30157668
#SPJ11
When adding a title to a document, you can put it in the middle of the page by doing this:
A. Using the spacebar until it looks like it’s in the middle
B. Set left and right indents
C. Change the alignment to center
D. Change the alignment to justified
When adding a title to a document, you can put it in the middle of the page by doing this: change the alignment to center. The Option C is correct.
What is alignment to center in MS word?Alignment to center in Microsoft Word refers to the formatting of text, paragraphs, tables, or objects so that they are positioned in the center of the page or the available space. This means that the text or object is evenly distributed between the left and right margins.
To align text or objects to the center in Microsoft Word, you can use the following steps:
Select the text or object that you want to align to the center.Go to the "Home" tab in the ribbon.Click on the "Center" button in the "Paragraph" section of the ribbon.Alternatively, you can use the keyboard shortcut "Ctrl+E" to center the selected text or object.Read more about center
brainly.com/question/25862883
#SPJ1
when the quantity demanded of a good is less than the quantity supplied at the prevailing market price, free fallin gifs | tenor group of answer choices the market is in equilibrium the price of the good tends to fall the price of the good tends to rise the demand curve will shift rightward
When the quantity demanded of a good is less than the quantity supplied at the prevailing market price, the price of the good tends to fall. This is because there is an excess supply of the good in the market, which puts downward pressure on the price.
As the price falls, the quantity demanded will increase and the quantity supplied will decrease until the market reaches equilibrium, where the quantity demanded equals the quantity supplied. This is known as the law of supply and demand.
In this situation, the market is not in equilibrium, as there is an excess supply of the good. The price of the good will not tend to rise, as there is already an excess supply. The demand curve will not shift rightward, as this would increase the quantity demanded at all prices, which is not the case in this situation.
In summary, when the quantity demanded of a good is less than the quantity supplied at the prevailing market price, the price of the good tends to fall until the market reaches equilibrium.
For more similar questions on market price
brainly.com/question/13302832
#SPJ11
Here are the comparative income statements of Georgia Development Corporation. GEORGIA DEVELOPMENT CORPORATION Condensed Income Statements For the Years Ended December 31 December 31, 2017 December 31, 2016 Net sales $600,000 $500,000 Cost of goods sold 414,000 350,000 Gross profit 186,000 150,000 Operating expenses 150,000 120,000 Net income $36,000 $30,000 Prepare a horizontal analysis of the income statement data for Georgia Development Corporation using 2016 as a base. (If amount and percentage are a decrease show the numbers as negative, e. G. -55,000, -12. 1% or (55,000), (12. 1%). Round percentages to 1 decimal place, e. G. 12. 1%. )
The net sales ratio is 20%, product cost is 18.3%, gross profit is 24%, operating expenses is 25% and net profit is 20%
Using horizontal analysis, figures are compared across different years, showing the difference between the following years where the base year figure is a percentage of the base year figure.
Dec 31,2017 Dec 31,2016 difference Percentage
Net Sales $600,000 $500,000 $100,000 20.0D
Cost of sales $414,000 $350,000 $64,000 18.3D
Gross Profit $186,000 $150,000 $36,000 24.0D
Operating
expenses $150,000 $120,000 $30,000 25.0D
Net Income $36,000 $30,000 $6,000 20.0D
Net sales ratio = 100,000 / 500,000 = 20D
Production cost = 64,000 / 350,000 = 18.3D
Gross Profit = 36,000 / 150,000 = 24D
Operating expenses = 30,000 / 120,000 = 25D
Net profit = 6,000 / 30,000 = 20%
To learn more about horizontal analysis, here:
https://brainly.com/question/29392869
#SPJ4
Call "Bond A" a US Treasury 30-year bond that was issued with a 10% coupon on Dec 31, 1980. On Dec 31, 2000 this is now a 10-year maturity bond. Suppose prevailing interest rates are 4%. a. What is the fair market price for Bond A? b. The US Treasury issued "Bond B", a new 10-year bond on December 31, 2000 with a 4% coupon. What is the fair market price of this bond? c. As an investor, which bond would you prefer to purchase?
a. Fair market price of Bond A is $2,330.94. b. Fair market price of Bond B: $940.40. c. As an investor, the preferable bond to buy is Bond B.
a. To calculate the fair market price for Bond A, we'll first calculate the present value of its cash flows. Since the bond has a 10% coupon and is issued on December 31, 1980, it will pay a coupon of $100 (10% x $1,000) per year. The coupon payments will remain the same until December 31, 2000, which is when it matures.
The calculation of PV of coupons can be done using the formula:
PV = C/r * [1 - 1/(1+r)^n],
where C is the coupon, r is the rate, and n is the number of payments.
Remembering that the bond is a 10-year bond on Dec 31, 2000. Hence, the number of payments would be 10.
Plugging in the values, we have:
PV of Coupons = $100/0.04 * [1 - 1/(1+0.04)^10]
= $100/0.04 * 6.621
= $1,655.38
Now, we'll calculate the present value of the principal repayment due at maturity, which would be the face value of the bond. Therefore,
PV of principal repayment = $1,000 / (1+0.04)^10 = $675.56
Therefore, the fair market price of Bond A = PV of Coupons + PV of principal repayment= $1,655.38 + $675.56 = $2,330.94
b. Since Bond B is a newly issued bond, its present value would simply be the present value of the cash flow it provides, which is calculated in the same way as Bond A's PV of Coupons. Hence,
PV of Coupons = $40/0.04 * [1 - 1/(1+0.04)^10]
= $40/0.04 * 6.621
= $264.84
PV of principal repayment= $1,000 / (1+0.04)^10 = $675.56
Therefore, the fair market price of Bond B = PV of Coupons + PV of principal repayment= $264.84 + $675.56 = $940.40
c. As an investor, the preferable bond to purchase would be Bond B since it has a higher yield than Bond A. Bond A has a 10% coupon rate, while the current yield on similar bonds is 4%. Bond B, on the other hand, has a 4% coupon rate, which is consistent with the current yield on similar bonds.
The yield on Bond B is greater than the yield on Bond A as a result of the lower coupon rate, but the yield is comparable to that of other similar bonds, making it more appealing to investors than Bond A.
Learn more about Bond:
https://brainly.com/question/25596583
#SPJ11
which of the following statements about a firm's production is true? select all statements that are true. when total product rises, marginal product is rising when marginal product is greater than average product, average product is rising when marginal product is falling, marginal cost is falling when total product is at its maximum, marginal product is zero when marginal product is rising, total product is increasing at an increasing rate
The true statements about a firm's production are as follows: When total product rises, marginal product is rising; When marginal product is greater than average product, average product is rising; Marginal cost is falling when marginal product is falling. Total product is at its maximum when marginal product is zero; When marginal product is rising, total product is increasing at an increasing rate.
When marginal product is rising, total product is increasing at an increasing rate. The production function can be used to describe the physical relationship between inputs and outputs. In the short run, some inputs are fixed, so the production function represents the maximum production achievable for various quantities of variable inputs, with fixed inputs.
The relationship between marginal product and total product is determined by the law of diminishing marginal returns. This states that as more and more variable inputs are added to a fixed input, the marginal product of the variable inputs will eventually begin to decline. This implies that the marginal product will eventually fall to zero or even become negative, causing total product to decline.
The following are true statements about a firm's production: When total product rises, marginal product is rising; When marginal product is greater than average product, average product is rising; Marginal cost is falling when marginal product is falling; Total product is at its maximum when marginal product is zero; When marginal product is rising, total product is increasing at an increasing rate.
Learn more about "Production"; https://brainly.com/question/16755022
#SPJ11
Suppose your grandparents take a $350,000 reverse mortgage at 6% with a term of ten years, annual payments. They want to receive a $25,000 advance at loan origination and they want to receive the rest in equal annual paymentsA. What is the amount of the annual payment?B. What is their interest charge in year 3?C. How much total interest do they pay if they hold the loan for its full term of ten years?D. If they decide to repay the loan at the end of year 4, what is the balance due?
Answer: A. To find the amount of the annual payment, we first need to calculate the total amount of the loan proceeds. Since they want a $25,000 advance at loan origination, the remaining loan proceeds are:
$350,000 - $25,000 = $325,000
The annual payment can be calculated using the present value of an annuity formula:
PMT = PV * r / (1 - (1 + r)^(-n))
Where PMT is the annual payment, PV is the present value of the loan proceeds, r is the interest rate per period, and n is the number of periods.
For this problem, r = 6% / 1 = 0.06 (since the interest rate is an annual rate and the payments are annual), n = 10 (since the term is ten years), and PV = $325,000.
Substituting these values into the formula, we get:
PMT = $325,000 * 0.06 / (1 - (1 + 0.06)^(-10)) = $39,199.96
Therefore, the amount of the annual payment is $39,199.96.
B. To find their interest charge in year 3, we need to first calculate the balance due at the beginning of year 3. To do this, we need to calculate the balance due at the end of year 2 and then add the interest for year 3. The balance due at the end of year 2 can be calculated using the future value of an annuity formula:
FV = PMT * ((1 + r)^n - 1) / r
Where FV is the future value of the annuity, PMT is the annual payment, r is the interest rate per period, and n is the number of periods.
For this problem, r = 6% / 1 = 0.06, n = 2 (since we want to calculate the balance due at the end of year 2), and PMT = $39,199.96.
Substituting these values into the formula, we get:
FV = $39,199.96 * ((1 + 0.06)^2 - 1) / 0.06 = $86,977.25
Therefore, the balance due at the beginning of year 3 is $86,977.25. The interest charge for year 3 is simply the balance due at the beginning of year 3 multiplied by the interest rate:
Interest charge = $86,977.25 * 0.06 = $5,218.64
Therefore, their interest charge in year 3 is $5,218.64.
C. To find the total interest they pay if they hold the loan for its full term of ten years, we can use the total interest formula:
Total interest = PMT * n - PV
Where PMT is the annual payment, n is the number of periods, and PV is the present value of the loan proceeds.
For this problem, PMT = $39,199.96, n = 10, and PV = $325,000.
Substituting these values into the formula, we get:
Total interest = $39,199.96 * 10 - $325,000 = $66,999.60
Therefore, their total interest paid over the ten-year term is $66,999.60.
D. To find the balance due if they decide to repay the loan at the end of year 4, we can calculate the balance due at the beginning of year 5 and then subtract the annual payment for years 5-10. The balance due at the beginning of year 5 can be calculated
Wow this took a lot of typing
Indicate the accounts to be debited and credited in each of the following transactions. Montle Pty Ltd started business with P300,000 at the bank a. Bought office furniture paying by cheque P30,000. b. Obtained a bank loan from the bank for P120,000. c. Purchased goods on credit from YM Ltd for P30,000 d. Sold goods on credit to AT ltd for P15,000
The Capital Invested in Business deposited in Bank is 300,000. The Office Furniture Purchased is 300000. Loan availed from Bank 120000. Goods purchased on Credit from YM Ltd is 30000. Goods sold on Credit to At Ltd is 15000.
The calculations are sown in the image attached below:
Capital investment is the accession of physical means by a company for use in incubating its long- term business pretensions and objects. Real estate, manufacturing shops, and ministry are among the means that are bought as capital investments.
The capital used may come from a wide range of sources from traditional bank loans to adventure capital deals.
Learn more about capital investments here:
https://brainly.com/question/17192371
#SPJ12
This year, baldwin paid their workers $26. 81 per hour. How much will they be paying them 3 rounds from now
After paying $26. 81 per hour to their workers Baldwin will be paying $31.04 to them 3 rounds from now.
What is the Baldwin theory?John James Baldwin's thesis is presented as an alternative method for promoting social understanding. Baldwin's theory emphasizes the gradual dissociation of the self and the other, which has its roots in embodied social activity. For instance, Morgan proposed that organic evolution (the term He used to describe the phenomenon now known as the Baldwin effect) can account for the origin of bird songs, which evolved as a result of sexual selection.
It is shown from Baldwin's statement that they increase the salaries of workers by 5% every year.
In 3 rounds/years, therefore, the salary will be:
= [tex]26.81[/tex] ×[tex](1+5)^{3}[/tex]
=26.81*1.05³
=31.04
Therefore in 3 rounds from now, they will be paid $31.04.
Know more about "salary" visit
brainly.com/question/30680617
#SPJ4
Create a solution used to overcome challenges with installing post stubs in construction. Such as a project leason learned or project wisdom, or general wisdom about post stubs that hold a structural pipe rack.
One solution used to overcome the challenges with installing post stubs in construction would be to perform on-site analytical inspections prior to installation.
How can inspection help with the problem?The more meticulous and detailed the inspection, the greater the possibilities for the rapid identification of obstacles likely to arise during the installation process, such as irregular and underground terrain.
Therefore, collaboration between engineers and contractors with experience installing poles helps to ensure compliance in the processes, as well as the use of optimal techniques and equipment that can ensure safety throughout the installation of the post stubs.
Find more about engineering inspections at:
https://brainly.com/question/30353036
#SPJ1
astoria company had the following transactions during the month of august year 1: (1) cash received from bank loans was $20,000. (2) dividends of $9,500 were paid to stockholders in cash. (3) revenues earned and received in cash amounted to $33,500 (4) expenses incurred and paid were $26,000. what amount of net income will be reported on an income statement for the month of august?
The net income that will be reported on an income statement for the month of August will be $-2,000. The negative sign indicates that the company incurred a loss instead of making a profit.
The net income that will be reported on an income statement for the month of August can be calculated as follows:
Revenue: $33,500Expenses: $26,000Dividends: $9,500Net Income = Revenue - Expenses - Dividends
Net Income = $33,500 - $26,000 - $9,500
Net Income = $-2,000
Therefore, the net income reported on an income statement for the month of August will be $-2,000. The negative sign indicates that the company incurred a loss instead of making a profit.
Learn more about "Net income"; https://brainly.com/question/28761667
#SPJ11
Question 2.2
The following data relate to the overhead expenditure of a contractor who undertakes industrial repairs and maintenance for the first six months in 2022
Month Maintenance cost Maintenance hours
Jan 630 7950
Feb 500 7400
Mar 700 8280
April 550 7630
May 780 9100
Jun 800 9800
Where there are more than 1 000 hours incurred in maintenance, it is necessary for the business to employ an additional supervisor at any site at an extra fixed cost of N$ 5 575. REQUIRED:
2.2.1 Using least squares approach determine the cost function for the maintenance cost. Ʃxy = aƩx + bƩx² ……………(i) Ʃy = na + bƩx………………….(ii) Note: You are not obliged to use the simultaneous equation approach. Any other approach is acceptable. 11 2.2.2 Using your answer to 2.2.1 calculate the total cost at 1 200 Maintenance hours. 2 2.2.3 Using the high-low method, determine the cost function for the maintenance cost.
Answer:yes 3960
Explanation:sum of y values
A state tax on portable electronic devices causes sales of a single model of a handheld calculator to decrease from 80 to 70 per week. The tax is assessed as a tax on sellers when they receive the units from suppliers. Drag the appropriate curves (including the Quantity curve) to show the effects on the market. To refer to the graphing tutorial for this question type, please click here. Price 15 100 180 Quant 140 120 120 110 100 00 80 70 00 80 40 20 20 10 80 Quantity per week Part 2 (2 points) See Hint What tax revenue will the state collect from sales of this one model of calculator through the new tax? The tax revenue is $ per week.
Through the new levy, the state will receive $17.50 per week in tax income from sales of this particular calculator model.
The calculation is as follows:
Given:
A $100 price before taxes
80 units were sold before to taxes.
Amount sold following tax income : 70
When sellers receive the units from suppliers, they are levied the tax as a tax. As a result, the tax rate levy on sellers is the same as the tax amount per unit.
We may apply the following calculation to get the tax rate:
Price before tax minus price after tax is the tax rate.
Tax rate = ($100 - $80) / $80, which is $20 / $80, or 0.25.
We can now determine the tax revenue:
Tax revenue is calculated as Tax Rate * Amount Sold After Tax.
Tax revenue equals 0.25 times 70, or $17.50
Learn more about tax income, from :
brainly.com/question/29622671
#SPJ12
Dollarama stores focus on serving buyers who haverelatively modest means. This is an example ofaconveniencebvalue pricingcmarket segmentationdtarget marketing
The goal of Dollarama stores is to cater to customers with modest incomes. An illustration of target marketing is this.
is a method of conducting business that emphasizes on the needs and wants of customers while generating a profit for the business?Market orientation is a method of conducting business that places a high priority on determining the requirements and preferences of customers and developing goods and services to meet those needs.
What is the correct definition of market segmentation?It aids in the creation of marketing mixes that are tailored to the needs of the target market.
Test your knowledge of market segmentation.Describe market segmentation. Market segmentation is the process of breaking a large market, which typically consists of current and potential customers, into smaller groups of consumers (known as segments), who share specific traits.
To Know more about requirements
https://brainly.com/question/2929431
#SPJ1
the leading brewery on the west coast (labeled a) has hired an or analyst to analyze its market position. it is particularly concerned about its major competitor (labeled b). the analyst believes that brand switching can be modeled as a markov chain using three states, with states a and b representing customers drinking beer produced from the afore- mentioned breweries and state c representing all other brands. data are taken monthly, and the analyst has constructed the following (one-step) transition matrix from past data. a b c a 0.7 0.15 0.15 b 0.35 0.2 0.45 c 0.3 0.2 0.5 (a) what are the steady-state market shares for the two major breweries?
The steady-state market shares for the two major breweries are 0.538 and 0.462
Steady-state probabilities or the limiting probabilities are used to measure the long-term proportion of time the system spends in each of the states. It is used to investigate the properties of the Markov chain after a long time has passed.
To calculate the steady-state probability, we must calculate the eigenvalues and eigenvectors for the transition matrix. The transition matrix has a full set of eigenvalues, but only one of them is equal to 1, which is the steady-state eigenvalue.
The steady-state probabilities of the two major breweries are 0.538 and 0.462. To solve this question, we must first set up the following system of equations:
[tex]0.538P(a) + 0.462P(b) = P(a)0.538P(a) + 0.462P(b) = P(b)[/tex]
We get [tex]P(a) = 0.538[/tex] and[tex]P(b) = 0.462[/tex]
by solving this system of equations. Therefore, the steady-state market shares for the two major breweries are 0.538 and 0.462.
See more about steady-state at: https://brainly.com/question/1900452
#SPJ11
soft mattresses inc. wants to become the largest and most profitable mattress supplier in a three-state area. to do this, soft should try to create the smallest possible difference between the value that its mattresses creates and the expense that the company must spend to produce the mattresses.
In order to become the largest and most profitable mattress supplier in a three-state area, Soft Mattresses Inc. should try to create the smallest possible difference between the value that its mattresses creates and the expense that the company must spend to produce the mattresses. This is known as maximizing profit margin.
To maximize profit margin, Soft Mattresses Inc. should focus on the following strategies:
1. Lower production costs: By finding ways to lower the cost of producing mattresses, such as negotiating lower prices for raw materials or finding more efficient production methods, Soft Mattresses Inc. can increase its profit margin.
2. Increase value: By creating mattresses that are of higher quality or offer unique features, Soft Mattresses Inc. can increase the value of its products and charge a higher price, thereby increasing profit margin.
3. Reduce expenses: By finding ways to reduce expenses, such as reducing marketing costs or finding more efficient ways to distribute products, Soft Mattresses Inc. can increase its profit margin.
By implementing these strategies, Soft Mattresses Inc. can create the smallest possible difference between the value that its mattresses creates and the expense that the company must spend to produce the mattresses, thereby maximizing profit margin and becoming the largest and most profitable mattress supplier in the three-state area.
For more similar questions on mattress
brainly.com/question/14200562
#SPJ11
Your salary is one thing to consider when reviewing a job
offer but benefits are also important. Which of the
following would NOT be a part of your benefits package?
•Paid time off
•Healthcare insurance
•Disability Insurance
•Free technology equipment
Paid holidays, health insurance, life insurance, retirement benefits, gratuities, and other perks may be included in employee benefit packages. Benefits for employees don't take into account how well they perform.
What makes a decent benefits package?Holidays, personal days, sick days, and other leave from work. contributions to retirement and pension are plans included in employee benefit packages . Employees' or their families' tuition aid or reimbursement. discounts on goods and services provided by the business; housing. 401(k) plan includes company match. Medical, dental, and vision insurance for workers with a variety of coverage/co-pay alternatives. Fitness centre or gym reimbursement of $100 per month. 10 paid vacation days each year.
To know more about employee benefit packages visit:
https://brainly.com/question/28260090
#SPJ1
josey manufactures dolls and estimates sales of $120,000 for november, $100,000 for december, and $150,000 for january. she sells each doll for $20 and the cost to make each one is $10. she expects 50% of the sales will be collected in the month of sale and the remaining 50% the following month. the beginning cash balance for november is $20,000. beginning inventory in november is 2,000 dolls and josey estimates to maintain at least 20% of next month's sales for ending inventory. fixed costs each month are $10,000. production and fixed costs are all paid in cash. ignoring october's sales, what is josey's estimated cash balance at the end of november?
Josey's estimated cash balance at the end of November is $10,000.
Calculate the doll sales for each month based on the estimated sales amounts:
November sales: $120,000 / $20 per doll = 6,000 dollsDecember sales: $100,000 / $20 per doll = 5,000 dollsJanuary sales: $150,000 / $20 per doll = 7,500 dollsCalculate COGS:
November COGS: 6,000 dolls x $10 per doll = $60,000December COGS: 5,000 dolls x $10 per doll = $50,000January COGS: 7,500 dolls x $10 per doll = $75,000Calculate ending inventory:
November ending inventory: 20% of December sales = 20% x 5,000 dolls = 1,000 dollsDecember ending inventory: 20% of January sales = 20% x 7,500 dolls = 1,500 dollsCalculate cash inflow:
November cash inflow: 50% of November sales x $20 per doll = $60,000December cash inflow: 50% of November sales x $20 per doll + 50% of December sales x $20 per doll = $60,000 + $50,000 = $110,000January cash inflow: 50% of December sales x $20 per doll + 50% of January sales x $20 per doll = $50,000 + $75,000 = $125,000Calculate cash outflow:
November cash outflow: COGS ($60,000) + Fixed costs ($10,000) = $70,000December cash outflow: COGS ($50,000) + Fixed costs ($10,000) = $60,000January cash outflow: COGS ($75,000) + Fixed costs ($10,000) = $85,000Therefore, the cash balance is:
Beginning cash balance: $20,000
Cash inflow: $60,000
Cash outflow: $70,000
Ending cash balance: $10,000
Learn more about cash balance here:
https://brainly.com/question/24979735
#SPJ11
21. Comprehensive Review Problem: A mortgage loan in the amount of$100,000is made at 6 percent interest for 20 years. Payments are to be monthly in each part of this problem. a. What will monthly payments be if (1) The loan is fully amortizing? (2) It is partially amortizing and a balloon payment of$50,000is scheduled at the end of year 20 ? (3) It is a nonamortizing, or "interest-only" loan? (4) It is a negative amortizing loan and the loan balance will be$150,000at the end of year20?b. What will the loan balance be at the end of year 5 under partsa(1)througha(4)? c. What would be the interest portion of the payment scheduled for payment at the end of month 61 for each case (1) through (4) above? d. Assume that the lender charges 3 points to close the loans in partsa(1) througha(4). What would be theAPRfor each? e. Assuming that 3 points are paid at closing and the 20 -year loan is prepaid at the end of year 5. what will be the effective rate of interest for each loan in partsa(1)througha(4)? f. Assume conditions ina(1) exeept that payments will be "interest only" for the first three years ( 36 months). If the loan is to fully amortize over the remaining 17 years, what must the monchly payments be from year 4 through year 20 ? g. Refer toa(4) above, where the borrower and lender agree that the loan balance of$150,000will be payable at the end of year 20 : (1) How much total interest will be paid from all payments? How much toral amortization will be paid? (2) What will be the loan balance at the end of year 3 ? (3) If the loan is repaid at the end of year 3, what will be the effective rate of interest? (4) If the lender charges 4 points to make this loan, what will the effective rate of interest be if the loan is repaid at the end of year 3?
An amortizing loan is an advance where the head of the credit is settled over the existence of the credit as indicated by an amortization plan, commonly through equivalent instalments.
To calculate the monthly payment for a fully amortizing loan, we can use the formula:
PMT = (P*r) / (1 - (1+r)^(-n))
where PMT is the monthly payment, P is the principal (loan amount), r is the monthly interest rate, and n is the total number of payments.
In this case, P = $100,000, r = 0.06/12 = 0.005, and n = 20 x 12 = 240.
Plugging in the values:
PMT = ($100,000*0.005) / (1 - (1+0.005)^(-240))
PMT = $644.30
Therefore, the monthly payment for a fully amortised loan is $644.30.
(2) To calculate the monthly payment for a partially amortizing loan with a balloon payment, we can first calculate the monthly payment for the amortizing portion of the loan using the same formula as in (1). Then, we can use the remaining loan balance at the end of year 20 and the remaining term of 240 - 240 = 0 months to calculate the balloon payment.
The monthly payment for the amortizing portion of the loan is:
PMT = ($100,000*0.005) / (1 - (1+0.005)^(-240))
PMT = $644.30
The remaining loan balance at the end of year 20 is $100,000*(1+0.06)^20 = $320,713.20. To calculate the balloon payment, we can use the formula:
Balloon Payment = Remaining Balance / (1 + r)^n
where r is the monthly interest rate and n is the remaining term in months.
Balloon Payment = $320,713.20 / (1 + 0.005)^0
Balloon Payment = $320,713.20
Therefore, the monthly payment for a partially amortised loan with a balloon payment is $644.30, and the balloon payment at the end of year 20 is $320,713.20.
(3) For a non-amortizing or interest-only loan, the monthly payment is simply the interest portion of the payment. The monthly interest payment is:
Interest Payment = Pr
Interest Payment = $100,0000.005
Interest Payment = $500
Therefore, the monthly payment for a non-amortizing or interest-only loan is $500.
(4) For a negatively amortizing loan, the monthly payment is less than the interest due, and the remaining interest is added to the loan balance. To calculate the monthly payment, we can first calculate the interest due:
Interest Payment = Pr
Interest Payment = $100,0000.005
Interest Payment = $500
The total payment must be sufficient to cover the interest due and the increase in loan balance. Let x be the additional amount added to the loan balance each month. Then, the monthly payment can be calculated as:
PMT = Interest Payment + x
PMT = $500 + x
At the end of year 20, the loan balance will be $150,000, so the total increase in loan balance over 20 years is $150,000 - $100,000 = $50,000. The increase in loan balance each month is:
x = ($50,000 / 240) / (1 + 0.005)^240
x = $113.45
Therefore, the monthly payment for a negatively amortizing loan is:
PMT = $500 + $113.45
PMT = $613.45
Know more about amortizing loans - https://brainly.com/question/12829776
#SPJ1
Horizon Valuation COLLAPSE D0 = $2 g= 20%, 20%, 20% and 7% thereafter r=12% What is the value of this stock today? We have differing growth rates so we need to calculate the present value of the first 3 years and then calculate the 7% thereafter using constant growth. Use the 4 step process from lecture. One post/student/thread/day.a. Calculation for D1b. value of D2c. value of D3 d. PV of D1e. PV of D2 f. PV of D3g. Calculate D4h. Calculate the value of the stock using constant growth formula and g2i.What is the PV of constant growth stock value from h.j. Total share valuation (add PV of D1, D2, D3, stock value from i.)Please help me to solve these problems using excel. Thank you,
We need to calculate the present value of the first 3 years and then calculate the 7% thereafter using constant growth. Here is the 4-step process to do this:
1. Calculate D1 = 2(1+0.2) = 2.4
2. Calculate the value of D2 = 2.4(1+0.2) = 2.88
3. Calculate the value of D3 = 2.88(1+0.2) = 3.45
4. Calculate the present value of D1 = 2.4/(1+0.12)1 = 2.17
5. Calculate the present value of D2 = 2.88/(1+0.12)2 = 2.48
6. Calculate the present value of D3 = 3.45/(1+0.12)3 = 2.75
7. Calculate the value of the stock using the constant growth formula and g2: D4 = 2.75(1+0.07) = 2.94
8. Calculate the present value of constant growth stock value from h: 2.94/(1+0.12)4 = 2.48
9. Calculate the total share valuation by adding the PV of D1, D2, D3, and the stock value from i: 2.17 + 2.48 + 2.75 + 2.48 = 10.88
Therefore, the value of the stock today is 10.88.
To learn more about constant growth, refer below:
https://brainly.com/question/15567560
#SPJ11
J. According to put-call parity. writing a put is like
Boving a call, buying stock. and lending
Writing a call. buying stock, and borrowing
Writing a call. buying stock, and lending
Writing a call, selling stock, and borrowing.
You have to write a story in professional way but in simple
words not toooo long but it should be with characters
like a proper story you can add characters by your own and i
have attached a powerpoint for your assistance
but please do your best
I should be a story , add characters of your own, with simple and professional words, and the topic is power and influence
Organizational behaviour is subject
To write a story on the topic of power and influence in organizational behavior. Here’s a potential story:
Once upon a time, there was a company called XYZ that was led by a charismatic CEO named John. John had built the company from the ground up and was known for his vision and unwavering determination. He was loved and respected by the employees, who felt that he truly cared about them and their success.
One day, John announced that he would be stepping down as CEO and that a new leader would be taking his place. The news was met with mixed reactions from the employees, who worried that the new leader would not be able to fill John’s shoes.
The new CEO, Sarah, was a sharp and capable woman who had a strong background in finance. She was known for being a shrewd negotiator and for always getting what she wanted. At first, the employees were wary of her and feared that she would be too harsh or demanding.
However, Sarah quickly proved herself to be a fair and supportive leader. She listened to the employees’ concerns and ideas, and worked hard to build strong relationships with each of them. She was firm when she needed to be, but also showed empathy and kindness when it was called for.
As time went on, Sarah’s influence at the company began to grow. She was able to make tough decisions and negotiate important deals, all while maintaining the respect and admiration of her team. Her leadership style helped to create a culture of trust and collaboration, which in turn led to increased productivity and success for everyone at the company.
In the end, Sarah’s power and influence were not the result of fear or intimidation, but rather of respect and admiration. She was a true leader who cared deeply about her team and was always willing to go above and beyond to help them succeed.
Learn more about admiration
https://brainly.com/question/14653634
#SPJ11
Identify the four interventions of planned change discussed in the chapter. Upon identifying the four major types of OD interventions, analyze the differences between each type of intervention. Describe the components of effective OD interventions.
The four types of interventions of planned change is sensitivity training, team building, process consultation, and survey feedback. Components of effective OD interventions include creating a culture of change, encouraging participation, developing trust, and providing feedback.
Organizational development (OD) interventions are organized and planned ways of implementing organizational change. There are four primary interventions in planned change. The differences between each type of intervention lie in the approach taken.
1. Sensitivity Training: This is a training program that encourages individuals to be more open, candid, and communicative with one another in order to achieve a greater degree of mutual understanding. This intervention involves group therapy that enables members to learn more about themselves and their feelings, as well as to develop communication abilities that are essential to the resolution of conflicts.
2. Team Building: This intervention is intended to promote cooperation and collaboration among team members. The goal is to identify the issues that impede team functioning and then work to resolve them. This type of intervention could include the use of experiential exercises to assist teams in communicating and working together more effectively.
3. Process Consultation: This is a training program that teaches individuals how to become process consultants who may aid organizations in changing. Process consultation training focuses on assisting individuals in acquiring a variety of skills, including how to diagnose organizational issues and how to intervene in the organization effectively.
4. Survey Feedback: This intervention involves the use of surveys and other research techniques to collect information about organizational issues. The information is then shared with employees in the organization to provide them with a better understanding of the organization and its issues.
Components of effective OD interventions include creating a culture of change, encouraging participation, developing trust, and providing feedback. Effective OD interventions are comprehensive and involve several components that are designed to help participants and the organization change. Interventions that encourage participation and trust are more likely to be successful. A culture of change is essential, and feedback provides data to ensure that the intervention is effective.
Learn more about Planned change:
https://brainly.com/question/28047795
#SPJ11