Answer:
The value of the 500 shares at the time of the purchase is $25,000 therefore $7500 had to be borrowed from the broker. With an immediate price change, we don’t need to worry about the interest rate on the loan. If the price
of Xtel stock jumps to p, say, the return on the investment, denoted rp, is given
by;
Explanation:.A) rp =
p × 500−7,500−17,500/17,500
=
500p − 25, 000/15, 000
Hence: r56 =500(56)-25,000/15,000= 28000-25,000/15,000 =20%
r50
= 500(50)-25,000/15,000= 25,000-25,000/15,000= 0%
r44 = 500(44)-25,000/15,000= 22,000-25,000/15,000= -20%
B) For a price p, the margin ratio is
500p − 7,500/500p
A margin ratio 0.3 implies that
500p − 7,500/500p= 0.3=>500p − 7,500=150p
=>p= 7500/350= 21.43
C)For a price p, the margin ratio is
500p − 12,500/500p
A margin ratio 0.3 implies that
500p − 12,500/500p= 0.3=>500p − 12,500=150p
=>p= 12,500/350= 35.71
D). Let p denote the price of Xtel’s stock at the end of the year. The return on this investment, rp, is then
rp =500p − (1.08)7,500 − 17,500/17,500=
500p − 25, 400/17,500
Thus r56= 500(56)-25,400/17,500= 14.86%
r50 = 500(50)-25,400/17,500 = -2.29
and
r44= 500(44)-25,400/17,500= -19.43%
E) For a price p, the margin ratio is then
500p − 7,900/500p
Thus a margin ratio 0.3
implies that;
500p − 5,900/500p
= 0.3 => 500p − 5,900 = 150p
=> p = 5,900/350
= 16.86
Answer:
a. advocate redistributing income from David to Rita.
Explanation:
Since David is getting a lower utility from his last dollar obtained (6) than Rita (10), the benefit that David gains from this last dollar is less than what Rita would gain if she was the one receiving this dollar. Therefore, those who favor an equal distribution of income would advocate redistributing income from David to Rita, since total utility would increase with this redistribution.
Answer:
The question is not complete:
Here is the complete question:
The projected benefit obligation was $460 million at the beginning of the year. Service cost for the year was $25 million. At the end of the year, pension benefits paid by the trustee were $21 million and there were no pension-related other comprehensive income accounts requiring amortization. The actuaries discount rate was 5%. The actual return on plan assets was $24 million although it was expected to be only $23 million.
What was the pension expense for the year?
Here is the answer: The pension expense is $25 million.
Explanation:
Pension is the form of defined benefit contribution plan which require employers to make certain periodic contribution on behalf of employees. This contribution is reported as an expense in the income statement if even though the benefit has not been enjoyed by the employees. To determine the value of this expenses to be included in the income statement, the components of the pension expenses are relevant.
Components of pension expense are service cost, interest cost, return on plan asset, amortization of prior service costs and gain or loss from change in asset value.
Here is the determination of the pension expense as required by the question.
$`M
Service cost 25
Interest ($460,000,000*5%) 23
Expected return on plan asset (23)
Amortization of prior service costs -
Gain or loss in change in value -
Pension expense 25
Answer:
Reduces
Raises
Explanation:
Compared to a perfectly competitive firm having the same cost curves, a monopolistically competitive firm reduces output and raises prices.
The topic that explains this is economic efficiency and resource allocation.
Answer:
Sales unit to achieve target profit =6,550 units
Explanation:
Break-even point is the level of activity that achieves no profit or loss. At this level profit is zero because the the total revenue is equal to total cost.
The break-even point is calculated as
Break -even in units = total general fixed cost/(selling price - variable cost)
ley represent tah variable cost per unit with letter "y"
5,000 = 50,000 / (25 - y)
cross multiply
5000× (25 - y) = 50,000
125000 - 5000 y = 50,000
collect like terms
125,000 - 50,000 = 5000 y
75000 = 5,000y
divide both sides by 5,000
y = 75,000/5000 = 15
Variable cost per unit = 15
Sales units to achieve target profit = Fixed cost + target profit/(selling price - variable cost per unit)
Sales unit to achieve target profit
= (50,000 + 15,500)/(25-15)
= 6,550
Sales unit to achieve target profit =6,550 units
Answer:
The correct answer is: served one (1) year or more in jail.
Explanation:
The National Securities Markets Improvement Act (NSMIA) is a U.S. securities regulation law. It aims to give more regulatory power to the federal government. Under this law, people who would like to apply to become securities brokers must not have a prison history as inmates for more than one (1) year. Otherwise, their application will be denied.
Answer:
No, I do not think justices should be forced to retire.
Explanation:
In order to ensure that the rule of law is maintained and every arm of government and it's institutions has no influences on justices, justices should not be forced to retire, as long as they are of good behavior and conduct.
The question pertains to the argument of whether the tenure of Supreme Court justices in a democracy should be capped or not. The professor's comment implies that long tenure might hinder dynamic legal interpretations in line with evolving societal values. Whether one supports the traditional life appointment system for justices or not depends on personal perspective.
The law professor's statement likely implies that with the evolving socially progressive landscape, having Supreme Court justices serve for 25 years or more could lead to stagnation in legal interpretation and decision making. Whether the current life appointment system for justices should be changed or not is a matter of personal opinion. Supporters of the current system often argue that it preserves judicial independence and protects the court from political pressures. On the other hand, those in favor of imposing retirement ages for justices often cite the need for fresh perspectives and dynamic legal interpretations that align with current societal values.
#SPJ3