Answers
Answer:
2.64%
Explanation:
It requires application of basic time value of money function
n = 17
FV = $308,700
PV = $198,300
FV = PV * (1 + r)n
$308,700 = $198,300 * (1 + r)^17
$308,700 / $198,300 = ($198,300 * (1 + r)^17) / $198,300
1.556732 = (1 + r)^17
Taking 17th root of equation
1.0264 = 1 + r
r = 2.64%
Related Questions
The beta of a security is calculated as: (_____ of a security’s return with the return on the market portfolio / _______).A. Variance; Covariance of the security returnB. Covariance; Standard deviation of the market returnC. Covariance; Variance of the market returnD. Variance; Covariance of the market returnE. Covariance; Variance of the security return
Hi this is a macroeconomics problem that i'm struggling with! if someone could please help me i'd really appreciate it!The Red Cross and WIC (Women Infants Children program) both provide emergency food packages and first-aid kits to New York City homeless shelters. The table below shows their weekly production possibilities in providing emergency goods to NYC homeless shelters.Red Cross WICFood packages 300 or 0 200 or 0First-aid kits 0 50 0 20NYC homeless shelters need a total of 20 first-aid kits per week. Currently, they get 10 kits from the Red Cross and 10 kits from WIC. With their remaining resources, how many food packages can each organization provide to NYC homeless shelters?
Determining opportunity cost Juanita is deciding whether to buy a dress that she wants, as well as where to buy it. Three stores carry the same dress, but it is more convenient for Juanita to get to some stores than others. For example, she can go to her local store, located 15 minutes away from where she works, and pay a marked-up price of $102 for the dress: Store Travel Time Each Way Price of a Dress (Minutes) (Dollars per dress) Local Department Store 15 102 Across Town 30 87 Neighboring City 60 63 Juanita makes $58 an hour at work. She has to take time off work to purchase her dress, so each hour away from work costs her $58 in lost income. Assume that returning to work takes Juanita the same amount of time as getting to a store and that it takes her 30 minutes to shop. As you answer the following questions, ignore the cost of gasoline and depreciation of her car when traveling. Complete the following table by computing the opportunity cost of Juanita's time and the total cost of shopping at each location.Store Opportunity Cost of Time Price of a Suit Total Cost(Dollars) (Dollars per suit) (Dollars)Local Department Store 103 Across Town 88 Neighboring City 63 Assume that Juanita takes opportunity costs and the price of the suit into consideration when she shops. Juanita will minimize the cost of the suit if she buys it from the:______. .
Terra Company has two divisions, the Retail Division and the Wholesale Division. The following information was gathered for the two divisions for the current year: Retail Division Wholesale Division Operating income $ 7,500,000 $ 4,000,000 Operating assets $ 37,500,000 $ 17,500,000 Assuming that these are the only divisions of Terra Company, what is the ROI for the company as a whole?
Answers
The amount that James will have available for a down payment after the five years is $3648.
What is a down payment?
Down payment is the payment that is given in small divisions for a large amount of money. The cash upfront paid by the buyer in real estate transactions and other significant purchases is known as a down payment on a house.
For a home being used as a primary residence, down payments, which are typically a percentage of the purchase price.
To calculate the amount of available money for the down payment, we should first calculate the 4% of the amount of money which is $3,800
The interest rate is 4%
Calculate the interest rate of the money
4% of 3800 = 152
The amount is then subtracted by $3,800
3800 - 152 = 3648
Therefore, James will have $3648 available for the down payment after 5 years.
To learn more about the down payment, refer to the below link:
#SPJ2
1. Find 4% of 3800: 152
2. 3800-152
3. James will have $3648 available for the down payment after the 5 years.
Answers
Answer:
Interest revenue for the year 2019 = $688
Explanation:
Total cost of asset = $25,000
Interest Revenue to be earned = 11% for 12 months
Total interest revenue = $25,000 X 11% = $2750
In the year 2011 the asset is sold on 1 October therefore interest revenue for the year 2011 will be from 1 October to 31 December = 3 months = $2,750 X = $687.50
Interest revenue for the year 2019 = $688
Answers
Answer: (D) Research and development
Explanation:
In the product synergy system, the each column representing about the opportunity for the efficiency in the research and the development.
The product synergy is one of the concept that helps in explain about the holistic view of an organization where the various types of material and also the energy are get exchange from one unit to another.
The research and the development plays an important role in the industry as it helps in introducing the new innovated products and the services in the market and maintaining the organizational productivity and the bottom line.
Therefore, Option (D) is correct answer.
Answers
Answer:
Alpha for A is 1.40%; Alpha for B is -0.2%.
Explanation:
First, we use the CAPM to calculate the required returns of the two portfolios A and B given the risks of the two portfolios( beta), the risk-free return rate ( T-bill rate) and the Market return rate (S&P 500) are given.
Required Return for A: Risk-free return rate + Beta for A x ( Market return rate - Risk-free return rate) = 5% + 0.7 x (13% - 5%) = 10.6%;
Required Return for A: Risk-free return rate + Beta for B x ( Market return rate - Risk-free return rate) = 5% + 1.4 x (13% - 5%) = 16.2%;
Second, we compute the alphas for the two portfolios:
Portfolio A: Expected return of A - Required return of A = 12% - 10.6% = 1.4%;
Portfolio B: Expected return of B - Required return of B = 16% - 16.2% = -0.2%.
Interest received on municipal bonds of $ 20,000
The enacted tax rate for 20X0 is 30% and 25% thereafter. In its December 31, 20X0, balance sheet, Lake should report a deferred income tax liability of:
a.$4,500
b.$0
c.$3,750
d.$28,500
Answers
Answer:
b.$0
Explanation:
As we know that
When there is a temporary discrepancy between financial income and taxable income a deferred tax benefit or liability occurs. Temporary difference means an benefit or cost with respect to treatment that has just a timing gap.
Moreover, the Premium on officer's life insurance is tax deductible i.e $15,000 as it is paid by the company due to which difference arise between the financial and taxable income.
And,
Interest received on municipal bonds $20,000 are mostly exempt from federal income tax.
Therefore, it shows no such difference as it indicates the permanent difference
Answers
Answer:
Cleans current ratio is = 2.71
Explanation:
The current ratio is a liquidity ratio that measures whether a firm has enough resources to meet its short-term obligations.
Current asset is any asset which can reasonably be expected to be sold, consumed, or exhausted through the normal operations of a business within the current fiscal year or operating cycle.
Current liabilities are often understood as all liabilities of the business that are to be settled in cash within the fiscal year or the operating cycle of a given firm, whichever period is longer.
Current ratio = current assets ÷ current liabilities.
From the question above;
Current assets;
Cash $600
Account receivable $900
Office supplies $400
Total $1900
Current liabilities;
Account payable $500
Salaries payable $200
Total $700
Current ratio = 1900 ÷ 700
Current ratio = 2.71