you are planning to organize a get together for alumni. as an organizer send an invitation letter to all alumni​

Answers

Answer 1

Answer:

hehe

Explanation:

hehe


Related Questions

Companies, the military, the government, and nonprofit organizations can operate because they have determined the levels of authority and reporting structure for their organizations. What is the name given to this line of authority

Answers

Answer:

Chain of command.

Explanation:

Chain of command is been used in the description of operation flow pattern in companies, government, universities and in many organisations which aid in a better reporting relationship. This report is said to set records straight and also puts every individual in a category in this chart organization. Also a chain of command is established so that everyone knows whom they should report to and what responsibilities are expected at their level. A chain of command enforces responsibility and accountability.

Which scenario holds true when a tariff is applied to an imported item? A. both domestic and foreign consumers pay the same price B. domestic consumers of the imported item pay a higher price C. foreign consumers of the imported item pay a higher price D domestic consumers of the imported itern pay a lower price​

Answers

Answer:

i would say b, the domestic pay more.

How are productive resources
allocated among people and
businesses in the United States?

Answers

Answer:

see below

Explanation:

America is a good example of a free-market economy. In this type of market, productive resources are allocated through the interaction of a willing buyer and a willing seller. In a market economy, Mutual beneficial exchange of resources through trade is relied upon to solve economic problems. An Individual's self-interest is viewed as a benefit to society.

In a free-market economy like in America, purchasing power determines who owns resources. Resource owners are motivated by profits and other self-interest to engage in production. The forces of supply and demand control activities in a Free Market. Consumers decide what will be produced. In market economies,  operation and acquisition of resources is by the freely and self-directed interaction between consumers and producers.

A perpetuity pays $170 per year and interest rates are 8.2 percent. How much would its value change if interest rates increased to 9.7 percent

Answers

Answer:

$320.59 decrease

Explanation:

The computation of the change in the value is shown below:

As we know that

The Value of perpetuity is

= Annual inflows ÷ interest rate

Current value is

= $170 ÷ 0.082

= $2,073.17

And,

New value is

= $170  ÷ 0.097

= $1,752.58

Now change in value is

= $2,073.17 - $1,752.58

= $320.59 decrease

We simply applied the above formula

g Question 3 (ASC Required - 20 points): After graduation, you work for a few years at a major accounting firm and advance to Senior. However, as part of this role, you start working on a client that is different from your other background: specifically, a major bank located in San Francisco. This bank primarily takes deposits from retail and business customers and lends money out to others. The accounting seems to be completely different from what you are used to and so you go to the Codification to find out what the accounting standards for this industry consist of. Describe the major classes of transactions undertaken by this sort of entity and how they should be accounted for.

Answers

Answer with Explanation:

The major transactions that a bank will be involved in are listed below:

Deposits of accounts holders: These deposits are basically the liability of the bank which it will pay them back in near future. Hence it must be recorded as a Current or Non-current liability depending upon the type of account and agreement between the parties to contract. Money lendings to borrowers: This money must be accounted for as a current or non-current asset depending upon the type of account and agreement made.Interest on the money lendings: It is interest income and must be accounted for as revenue.ATM and other Transaction processing charges: These fee charges are also part of income and thus must be accounted for as income.

At a sales volume of 44,000 units, Thoma Corporation's sales commissions (a cost that is variable with respect to sales volume) total $585,200. To the nearest whole cent, what should be the total sales commission per unit at a sales volume of 46,300 units

Answers

Answer: $13.30 per unit

Explanation:

Thoma Corporation Sales Commission per unit;

= Total Sales commission/ Sales volume

= 585,200/44,000

= $13.30

For a sales volume of 46,300 units, the commission per unit will be the same $13.30 per unit as this cost is variable with respect to sales volume.

Lawn Master Company, a manufacturer of riding lawn mowers, has a projected income for the coming year as follows: Sales $ 44,000,000 Operating expenses: Variable expenses $ 28,600,000 Fixed expenses 7,700,000 Total expenses 36,300,000 Operating profit $ 7,700,000 Required: 1. Determine the breakeven point in sales dollars. 2. Determine the required sales in dollars to earn a before-tax profit of $9,152,500. (Do not round intermediate calculations. Round your answer to the nearest whole dollar amount.) 3. What is the breakeven point in sales dollars if the variable expenses increases by 9%

Answers

Answer:

Please see attached

Explanation:

• Break even point in sales dollars $22,000,000

• Required sales in dollars $48,150,000

• Break even point in sales dollars $34,010,600

See as attached, detailed solution to the questions above.

Answer:

Results are below.

Explanation:

Giving the following information:

Sales $44,000,000

Variable expenses $ 28,600,000

Fixed expenses 7,700,000

To calculate the break-even point in dollars, we need to use the following formula:

Break-even point (dollars)= fixed costs/ contribution margin ratio

Break-even point (dollars)= 7,700,000 / [(44,000,000 - 28,600,000)/44,000,000]

Break-even point (dollars)= $22,000,000

Now, we incorporate the desired profit of $9,152,500

Break-even point (dollars)= (fixed costs + desired profit) / contribution margin ratio

Break-even point (dollars)= (7,700,000 + 9,152,500) /0.35

Break-even point (dollars)= $48,150,000

Finally, the new break-even point in dollars:

Total variable cost= 28,600,000*1.09= 31,174,000

Break-even point (dollars)= 7,700,000 / [(44,000,000 - 31,174,000) / 44,000,000]

Break-even point (dollars)= 7,700,000 / 0.2915

Break-even point (dollars)=  $26,415,094.34

Receivables are valued based on their ________.
a. fair value
b. estimated amount collectible
c. lower-of-cost-or-market value
d. historical cost

Answers

Answer:

b. estimated amount collectible

Explanation:

In Financial accounting, Receivables are also known as Account Receivable. Receivables are considered to be a current asset because it is the payment a business firm would receive from its customers for goods purchased or services taken on credit. Also, accounts receivable are recorded in the current assets section of the balance sheet because they add value to a business firm.

Generally, current assets are considered to be liquid because they are listed on the balance sheet in the order (descending) in which they are expected to turn or be converted to cash within a relatively short term period.

Hence, receivables are valued based on their estimated amount collectible from customers for the goods and services taken.

The following transactions occurred at the Daisy King Ice Cream Company.
1. Started business by issuing 10,000 shares of capital stock for $23,000.
2. Signed a franchise agreement to pay royalties of 5% of sales.
3. Leased a building for three years at $530 per month and paid six months' rent in advance.
4. Purchased equipment for $5,700, paying $2,000 down and signing a two-year, 10% note for the balance.
5. Purchased $2,100 of supplies on account.
6. Recorded cash sales of $1,100 for the first week.
7. Paid weekly salaries and wages, $470.
8. Paid for supplies purchased in item (5).
9. Paid royalties due on first week's sales.
10. Recorded depreciation on equipment, $70.
Required:
Prepare journal entries to record each of the transactions listed above. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
​Journal Entries Needed as followed:
​1. Started business by issuing 10,000 shares if capitol stock for $23,000
2. Signed a franchise agreement to pay royalties of 5% of sales
​3. Leased a building for 3yrs st $530 per month and paid 6 months rent in advance
​4. Purchased equipment for $5700, paying $2000 down and signing a 2yr 10% note for the balance.
​5. Purchased $2100 of supplies on account
​6. Recorded cash sales of $1100 for the 1st week
​7. Paid weekly salareies and wages $4700
​8. Paid for suplies purchased in item (5)
9. Paid royalites due on 1st weeks sales
​10. Recorded depreciation on equipment $70

Answers

Answer:

Daisy King Ice Cream Company

General Journal

1. Debit Cash Account $23,000

Credit Capital Stock $23,000

To record the issue of 10,000 shares for cash.

2. No journal entry required.

3. Debit Prepaid Rent $3,180

Credit Cash Account $3,180

To record the payment in advance of six months' rent.

4. Debit Equipment $5,700

Credit Cash $2,000

Credit Notes Payable $3,700

To record the purchase of equipment for cash and 10% two-year notes.

5. Debit Supplies $2,100

Credit Accounts Payable $2,1000

To record the purchase of supplies on account.

6. Debit Cash Account $1,100

Credit Sales Revenue $1,100

To record the sale of goods for cash.

Debit Royalties Expense $55

Credit Royalties Payable $55

To record 5% royalties payable on sales.

7. Debit Salaries and Wages Expense $470

Credit Cash Account $470

To record the payment of weekly salaries and wages.

8. Debit Accounts Payable $2,100

Credit Cash Account $2,100

To record the payment for supplies purchase on account.

9. Debit Royalties Payable $55

Credit Cash Account $55

To record the payment of royalties due.

10. Debit Depreciation Expense $70

Credit Accumulated Depreciation $70

To record the depreciation expense for the period.

Explanation:

For Daisy King Ice Cream Company, the recording of business transactions in the journal is the first step of maintaining the double-entry system of book-keeping.  In it, the accounts to be debited and credited are identified and recorded for onward posting to the general ledger.

$50 an hour is a
A salary
B commission
C wage
D pension

Answers

I think C I’m not sure tho

Answer: C.) Wage

Explanation: A salary is a set cost that is due to you over an agreed amount of time. A commission is a percentage that you get from the original cost. A wage is the income one makes daily, or per hour. A pension is the gradual amount of money being added up during the years one works. Therefore, $50 an hour is a wage.

I hope this helped!

Good luck <3

A share of Lash Inc.'s common stock just paid a dividend of $2.10. If the expected long-run growth rate for this stock is 5%, and if investors' required rate of return is 18.5%, what is the stock price

Answers

Answer:

P0 = $16.333333333 rounded off to $16.33

Explanation:

Using the constant growth model of dividend discount model, we can calculate the price of the stock today. The DDM values a stock based on the present value of the expected future dividends from the stock. The formula for price today under this model is,

P0 = D0 * (1+g) / (r - g)

Where,

D0 * (1+g) is dividend expected for the next period g is the growth rate r is the required rate of return  

P0 = 2.1 * (1+0.05)  /  (0.185 - 0.05)

P0 = $16.333333333 rounded off to $16.33

Suppose there are 100 million in the labor force, and 6 million unemployed people. During the next month, 200,000 people lose their jobs and 300,000 find jobs. The new total of employed persons is ________ and the new unemployment rate is ________.

Answers

Answer:

Results are below.

Explanation:

First, we need to calculate the currently employed people and the unemployment rate:

Employed people= 100,000,000 - 6,000,000= 94,000,000

Unemployment rate= unemployed people / labor force

Unemployment rate= 6,000,000 / 100,000,000

Unemployment rate= 0.06= 6%

Now, the newly employed people and the unemployment rate:

Employed people= 94,000,000 + 300,000 - 200,000

Employed people= 94,100,000

Unemployment rate= 5,900,000 / 100,000,000

Unemployment rate= 0.059 = 5.9%

Lincoln’s landlord has included a clause in the rental contract that makes it possible for him to increase Lincoln’s monthly rent if taxes on the property go up. Which clause was included in the contract?
a. tariffs clause.
b. variable costs clause.
c. escalator clause.
d. elastic demand clause.
e. elevator clause.

Answers

Answer:

The appropriate answer is Option c (Escalator clause).

Explanation:

The landlord of Lincoln also put a disclaimer throughout the rental lease which allows him to raise the mortgage payment of Lincoln if property wages increase. The deal had an escalator clause.An Escalator clause would be a clause inside a leasing contract as well as rent disclosure that ensures the improvement in rent sum regardless of the reasons which were not under influence of all the participants. Throughout this situation the taxation on land is raised by that of the government therefore adjustment in taxes wasn't in the jurisdiction of all entities.

The other options given aren't connected to just the given case. In such a way that the response above is right.

Situation 2
A customer walks into your department and asks if anyone can help her. She complains that she's
been waiting for the salesperson in the shoe department for the last 10 minutes. She says, "Just
when I think he's finally going to help me, he takes another phone call. I'm so upset. I just want to
tell his manager how rude he's been."
Policy: Employees should try to handle all customer complaints. If the customer demands to see a
manager, call the departmental manager immediately.
19
sty

Answers

Answer:

The lady would need to remain patience and make note of the fact that there may be a crowd and not enough employees so it may take a while. Yes the lady has a right to assistance but she should only be given it if she is being respectful of the people around her and nice to the employees.

Not sure what you wanted me to answer but I hope this helps.

Explanation:

Roose, Inc. reported revenue of $92 million and incurred total expenses of $84 million. The total expenses included cost of goods sold of $50 million, salaries and other administrative expenses of $9 million, $11 million of interest paid on a building's mortgage, and $14 million of depreciation. Assuming Roose is subject to the interest expense limitation, what amount of interest expense can the business deduct in the current year

Answers

Answer:

Roose, Inc.

The business can deduct $9.5 million in the current year.

Explanation:

Revenue = $92 million

Expenses allowed = 73 million ( $84 - $11 million for interest expense)

Adjusted taxable income before interest = $19 million

50% of adjusted taxable income = $9.5 million

Disallowed interest expense in the current year = $1.5 million

The interest expense allowed (deductible) is 50% for 2019 and 2020, as amended by the CARES Act) of the taxpayer's adjusted taxable income.

During 2021, WMC Corporation discovered that its ending inventories reported in its financial statements were misstated by the following material amounts: 2019 understated by $ 124,000 2020 overstated by 154,000 WMC uses a periodic inventory system and the FIFO cost method. Required: 1. Determine the effect of these errors on retained earnings at January 1, 2021, before any adjustments. (Ignore income taxes.) 2. Prepare a journal entry to correct the errors.

Answers

Answer:

WMC Corporation

Misstatement of Ending Inventories:

1. Effect of these errors on Retained Earnings at January 1, 2021:

a) The understated amount by $124,000 in 2019 has self-corrected in 2020 with the Beginning Inventory also understated.  So, it has no effect on the Retained Earnings at January 1, 2021.

b) The overstated ending inventories by $154,000 will overstate the Retained Earnings at January 1, 2021 by the same amount.  Since it has not self-corrected like (a), the correction will be to reduce the Retained Earnings and reduce the Beginning Inventories by $154,000.

2. Journal Entry:

Debit Retained Earnings $154,000

Credit Beginning Inventories $154,000

To reverse the overstated inventories.

Explanation:

a) Data:

2019 understated by $ 124,000

2020 overstated by 154,000

Inventory system = periodic

Inventory method = FIFO

None of the following would be an advantage of self-administered surveys:
A) Reduced cost
B) Respondent control
C) Reduced interview evaluation apprehension
A. True
B. False

Answers

Answer:

B. False

Explanation:

A self-administered survey is one where there is the collection of the necessary data for the survey is carried out through a questionnaire of questions to be answered by the interviewee. Questionnaires can be sent via mail, e-mail, personal interception, hand delivery etc.

The advantages of self-administered surveys are cost reduction, since questionnaires can be sent via email at no cost to both, greater control of the interviewee, since the questions can be developed according to the information you want to collect, greater quick feedback, which reduces the apprehension of the interview evaluation.

False, the self-administered surveys would not be advantageous in terms of reduced interview evaluation apprehension. The Option B.

Would self-administered surveys be advantageous?

Self-administered surveys eliminate the need for face-to-face interactions and direct interviewer involvement which can indeed reduce interview evaluation apprehension. When individuals complete surveys on their own, they may feel less pressured and more comfortable expressing their opinions.

But this advantage does not hold true for self-administered surveys as they are completed by the respondents themselves without the presence of an interviewer. Consequently, the absence of an interviewer does not contribute to a reduction in interview evaluation apprehension. Therefore, the Option B is correct.

Read more about surveys

brainly.com/question/14610641

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Suppose that, in a competitive market without government regulations, the equilibrium price of gasoline is $3.00 per gallon.
Complete the following table by indicating whether each of the statements is an example of a price ceiling or a price floor and whether it is binding or nonbinding.
Statement Price Control Binding or Not
The government prohibits gas stations from selling gasoline for more than $2.50 per gallon.
The government has instituted a legal minimum price of $3.40 per gallon for gasoline.
There are many teenagers who would like to work at gas stations, but they are not hired due to minimum-wage laws.

Answers

Answer:

Price ceiling binding

price floor binding

Price floor binding

Explanation:

A price floor is when the government or an agency of the government sets the minimum price of a product. A price floor is binding if it is set above equilibrium price.

Price ceiling is when the government or an agency of the government sets the maximum price for a product. It is binding when it is set below equilibrium price.

The maximum price ($2.50) is less than the equilibrium price($3) . So it is a binding price ceiling

The minimum price ($3.40) is greater than the equilibrium price($3) . So it is a binding price floor

Ramon had AGI of $165,000 in 2020. He is considering making a charitable contribution this year to the American Heart Association, a qualified charitable organization. Determine the current allowable charitable contribution deduction in each of the following independent situations, and indicate the treatment for any amount that is not deductible currently. Identify any planning ideas to minimize Ramon's tax liability.

Answers

Answer:

the situations are missing, so I looked for similar questions:

a. A cash gift of $68,500.

In the current year, Ramon may deduct $68,500 since his charitable contribution is limited to $165,000.

b. A gift of OakCo stock worth $68,500 on the contribution date. Ramon had acquired the stock as an investment two years ago at a cost of $61,650.

The stock's value for determining the contribution is $68,500 (fair market value). The deduction for 2020 is $49,500 (30% of AGI). The remaining $19,000 for years.

c. A gift of a painting worth $68,500 that Ramon purchased three years ago for $61,650. The charity has indicated that it would sell the painting to generate cash to fund medical research.

The contribution is valued at $61,650 (the charity will sell the painting immediately). The amount deductible in the current year is $61,650.

Explanation:

The charitable contribution limit was increased to 100% of AGI for 2020 by the CARES Act (Coronavirus Aid, Relief, and Economic Security Act).

Follows a summary of Gold Corp.'s cash flows ($ in millions) for the year ended Dec. 31, 2020: Cash received from: Customers $ 3,150 Interest on investments 290 Sale of land 190 Sale of Rowdy's common stock 780 Issuance of debt securities 2,900 Cash paid for: Interest on debt $ 390 Income tax 170 Debt principal reduction 2,400 Purchase of equipment 5,800 Purchase of inventory 1,900 Dividends on common stock 470 Operating expenses 680 Gold Corp would report net cash inflows (outflows) from investing activities for the period of:

Answers

Answer:

Only two of the listed activities classify as investing activities. The cash flow form investing activities = cash received form the sale of land + cash paid for the purchase of equipment = $190 - $5,800 = -$5,610

Explanation:

Customers $ 3,150 ⇒ operating activity

Interest on investments 290 ⇒ operating activity

Sale of land 190 ⇒ investing activity

Sale of Rowdy's common stock 780 ⇒ financing activity  

Issuance of debt securities 2,900 ⇒ financing activity

Interest on debt $ 390 ⇒ operating activity

Income tax 170 ⇒ operating activity

Debt principal reduction 2,400 ⇒ financing activity

Purchase of equipment 5,800 ⇒ investing activity

Purchase of inventory 1,900 ⇒ operating activity

Dividends on common stock 470 ⇒ financing activity

Operating expenses 680 ⇒ operating activity

what is acknowledgement​

Answers

Answer: it means to accept something or recognition

Park competes with World by providing a variety of rides. sells tickets at $110 per person as a​ one-day entrance fee. Variable costs are $44 per​ person, and fixed costs $412,500 are per month. Under these​ conditions, the breakeven point in tickets is 6,250 and the breakeven point in sales dollars is ​$687,500.
Requirement
1. Suppose Park cuts its ticket price from to to increase the number of tickets sold. Compute the new breakeven point in tickets and in sales dollars. 2. Begin by selecting the formula labels and then entering the amounts to compute the number of tickets must sell to break even under this scenario

Answers

Answer:

Instructions are below.

Explanation:

Giving the following information:

Variable costs are $44 per​ person

Fixed costs $412,500

Let's suppose that the new selling price is $100.

To calculate the break-even point in units and dollars, we need to use the following formulas:

Break-even point in units= fixed costs/ contribution margin per unit

Break-even point in units= 412,500 / (100 - 44)

Break-even point in units= 7,366 units

Break-even point (dollars)= fixed costs/ contribution margin ratio

Break-even point (dollars)= 412,500 / (56/100)

Break-even point (dollars)= $736,607

8.Kline and Salomon form the KS Partnership as 50/50 partners. Kline contributes equipment that has a fair market value of $60,000 and an adjusted basis of $45,000. In addition, the equipment is subject to a $10,000 loan that KS Partnership is assuming. What amount represents Kline's initial basis in the partnership

Answers

Answer: $40,000

Explanation:

Kline brings in equipment that is worth $60,000 but has a basis of $45,000.

The equipment however is subject to a loan of $10,000.

This loan will have to be deducted from the basis. The partnership however is assuming the loan and Kline is only 50% liable in the partnership so Kline's basis will only be affected by half of the loan.

Basis = 45,000 - 5,000

= $40,000

Holiday Laboratories purchased a high-speed industrial centrifuge at a cost of $470,000. Shipping costs totaled $14,100. Foundation work to house the centrifuge cost $7,700. An additional water line had to be run to the equipment at a cost of $2,600. Labor and testing costs totaled $7,000. Materials used up in testing cost $3,700. (Leave no cells blank. Enter 0 where needed.) a. What is the total cost of the equipment

Answers

Answer:Total Cost of equipment=$502,500

Explanation:

Total Cost of equipment= This is gotten by addition of Cost of Purchase +Shipping costs  +Foundation work+ Testing expense

=$470,000+$14,100+$7,700+($7,000+$3,700.)

=$502,500

Suppose that real GDP grew more in Country A than in Country B last year.

a. Country A must have a higher standard of living than country B.
b. Country A's worker productivity must have grown faster than country B's.
c. Both of the above are correct.
d. None of the above are correct.

Answers

Answer:

D

Explanation:

Gross domestic product is the total sum of final goods and services produced in an economy within a given period which is usually a year

Nominal GDP is GDP calculated using current year prices while Real GDP is GDP calculated using base year prices. Real GDP has been adjusted for inflation.

The standard of living is calculated as real GDP / population. Even though the real GDP of country A grew faster than country B, country A's population might be higher than country B's making its standard of living lower.

To make a conclusion that the growth of country A's worker productivity grew faster, it must be assumed that population grew at the same rate in both countries

he Production Department of Hruska Corporation has submitted the following forecast of units to be produced by quarter for the upcoming fiscal year: 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Units to be produced 11,900 10,900 12,900 13,900 Each unit requires 0.20 direct labor-hours and direct laborers are paid $15.00 per hour. In addition, the variable manufacturing overhead rate is $1.50 per direct labor-hour. The fixed manufacturing overhead is $99,000 per quarter. The only noncash element of manufacturing overhead is depreciation, which is $39,000 per quarter. Required: 1. Calculate the company’s total estimated direct labor cost for each quarter of the the upcoming fiscal year and for the year as a whole. 2&3. Calculate the company’s total estimated manufacturing overhead cost and the cash disbursements for manufacturing overhead for each quarter of the upcoming fiscal year and for the year as a whole.

Answers

Answer:

1. Total estimated direct labor cost = $148,800

2. Total estimated manufacturing overhead cost = $410,880

3. Total Cash disbursement for the fiscal year = $254,880

Explanation:

Please see attached detailed explanation of the above questions and answers.

Jen Rogers withdrew a total of $15,000 from her business during the current year. The entry needed to close the withdrawals account is:_________
A. Debit Income Summary and credit Cash for $31,000.
B. Debit Jen Rogers, Withdrawals and credit Cash for $31,000 Debit Income Summary and credit Jen Rogers, Withdrawals for $31,000.
C. Debit Jen Rogers, Capital and credit Jen Rogers, Withdrawals for $31,000.
D. Debit Jen Rogers, Withdrawals and credit Jen Rogers, Capital for $31,000.

Answers

Answer: C. Debit Jen Rogers, Capital and credit Jen Rogers, Withdrawals for $15,000

Explanation:

The options do not match the question. Correct answer is posted.

When closing the Withdrawal account at the end of the period, the withdrawals need to be accounted for from the capital invested by the investor because the withdrawals would reduce the capital balance.

To do this the Capital account should be debited to signify that it is reducing. The opposing entry therefore will be to credit the Withdrawals account.

is the price of a movie ticket likely to go up or down why?

Answers

Answer:

Down

Explanation:

Because they want more people to watch

The process of taking cash flow that is received or paid in the future and stating that cash flow in present value terms is called discounting. A. True B. False

Answers

Answer:

A. True

Explanation:

The process of taking cash flow that is received or paid in the future and stating that cash flow in present value terms is called discounting.

Discounting is the opposite of Compounding because discounting measures what the value of future cash flow is worth in the present while compounding takes the present value into the future. Discounting generally points to a method of knowing the present value of cash flow. Discounting is an important tool due to how a business could know the present value of what the business spends and gains by comparing it to the future value of what is to be received.

The cash flow that is received or paid in the future is less than the present value of the cash flow and that depicts the time value of money.

Last year Janet purchased a $1,000 face value corporate bond with an 11% annual coupon rate and a 15-year maturity. At the time of the purchase, it had an expected yield to maturity of 12.21%. If Janet sold the bond today for $993.14, what rate of return would she have earned for the past year? Do not round intermediate calculations. Round your answer to two decimal places.

Answers

Answer:

20.10%

Explanation:

The first task is to compute the bond's purchase price last year which is found using the bond price formula below:

bond price=face value/(1+r)^n+ annual coupon*(1-(1+r)^-n/r

face value=$1000

r=yield to maturity=12.21%

n=number of annual coupons in 15 years=15

annual coupon=face value*coupon rate=$1000*11%=$110

bond price=1000/(1+12.21%)^15+110*(1-(1+12.21%)^-15/12.21%

bond price=1000/(1+12.21%)^15+110*(1-0.177634192 )/12.21%

bond price=$918.50  

Rate of return=(price today-initial price+coupon received)/initial price

price today= $993.14

initial price=$918.50  

coupon received(for 1 year)=$110

Rate of return=($993.14-$918.50+$110)/$918.50=20.10%

Other Questions
This was the final act before war broke out. The Canadian border was extended southward to the Ohio River. French Canadians were allowed to keep their laws, language, and Roman Catholic religion. What 1774 act was this? Identify the terms, coefficients, and constants in the expression.7h + 3I need help now!!!!! The density of gold is 19.3 grams per cubic centimeter. Rachel determines that the density of a coin is 18.7 grams per cubic centimeter. Based on this evidence, she concludes that the coin is not gold or at least not entirely gold. Is this an example of inductive or deductive reasoning? Preston Corp. is estimating its WACC. Its target capital structure is 20 percent debt, 20 percent preferred stock, and 60 percent common equity. Its bonds have a 12 percent coupon, paid semiannually, a current maturity of 20 years, and sells for $1,100. The firm could sell, at par, $100 preferred stock which pays a 5.52 percent annual dividend, but flotation costs of 5 percent would be incurred. Preston's beta is 1.2, the risk-free rate is 3 percent, and the market risk premium is 5 percent. The firm's marginal tax rate is 40 percent. What is Preston's WACC Which of the 27 amendments is the most important? Why? REWRITE THE SENTENCES USING PASSIVE VOICE:1. He saw a snake in the garden. 2. He finished the work in time.3. Rahul has made this paper boat. 4. The child is tearing the book.5. Shakespeare has written several plays. 6. He will meet the delegates tomorrow. 7. All his friends had deceived him.8. Shoba has forgotten my name.9. Ram can write stories.10. The lions were looking at him.11. When did you buy the car?12. Did you see the pen?13. Have you completed the work?14. People do not like him?15. Shut the door.16. Do not fool your friends.17. Do you have a box?18. I cannot remember the lessons now.19. The player had caught the ball but no one had expected it.20 They fill up the tank every day.21. The team will start the project tomorrow and they are planning about it. 22. The children made a mess during the party.23. Can you complete this work for me?24. Lower the boats.25. Does this idea interests you?26. You can accomplish nothing without sincere efforts.27. Sharon drinks coffee.28. They were making good progress.29. They are pulling down the old building.30. Honey tastes sweet.31. He usually buys the tickets.32. We booked the flights.33. She cleans my shoes.34. They arrested the burglars.35. He wrote the note.36. They washed the car.37. She found the key.38. He sold his coin collection.39. We started a new system.40. Someone stole his car.41. They used the towels.42. We turned on the TV.43. She served tea at 4.44. The rain flooded the camp. 45.Water is filled in the tank. In the apple activity you completed which of the following is an example of a constant Which type of reaction has the general formula of AB + CD AD + CB?synthesisdecompositionoxidationreplacement math more math and more math i mark as brainly Find the distance between the 2 planes to the nearest tenth. Multi-step Equations 5) 5n + 34 = -2(1 - 7n) Select the correct locations on the image.Ancient Egyptians were highly dependent on agriculture. Based on this knowledge, mark the two locations on the map that would be highly suitable for farming. En el Caribe, muchos practican una religin con aspectos de religiones africanas combinados con prcticas de otra religin. Es ________. (1 point)el mal de ojoel azabachela religin catlicala santera TRUE OR FALSE?????A writer is working on a research paper about whether schools should ban junk food or not. One of the paragraphs in his paper reads:The article Junk Food in Schools: Should Schools Restrict the Sale of Junk Food? provides an overview of some concerns related to the food available to many school students: Having junk food in schools, proponents contend, contradicts the message that parents, teachers and administrators are trying to impart to studentsthat eating good food is the key to good health. That message is undercut when unhealthy foods are so readily available, and have been approved by schools themselves, they argue. We talk a lot about healthy nutrition, we teach the kids about the food pyramid, and then they go down the hallway and get the high fat, high sodium and high junk available in the vending machines, Senator Murkowski told the New York Times (Junk Food). But this isnt true. In my high school we didnt have any vending machines.This paragraph effectively relates the writers source material to his ideas about junk food. how many hours are there in 1 month if there are 31 days in a month. Will mark brainliest. plz answer the top one #13 (its not D) Write the word sentence as an equation. Then solve.The difference between a number pand 6 is -14EquationSolution p=25 The origins of Islam can be traced to_____The teachings of the apostlesThe writings of ConfuciusThe teachings and conquests of MuhammadBuddha's search for enlightenment Which of the following did NOT lead to the Louisiana purchase?A. The united states won the american revolution and was exandingB. The united states gave up all claims on texas to spain C. Napolen forced spain to return louisiana to franceD. Napolen needed to finance his battles in europe. Help me plzIts 8th grade math And ion know what the answer is..