FIN 415 Fall 2020 Quiz 3 20201213
.pdf
keyboard_arrow_up
School
University of Michigan *
*We aren’t endorsed by this school
Course
415
Subject
Finance
Date
May 9, 2024
Type
Pages
11
Uploaded by SargentJackal2077 on coursehero.com
FIN 415 CORPORATE INVESTMENT DECISIONS QUIZ 3 Instructions You have 240 minutes. There are 10 multiple choice questions. Each question is worth the same. Each question has one correct answer. A correct answer gives you one point; an incorrect answer gives you zero points. You will need to use Excel to complete the quiz. Retain all decimal places in your calculations. If you round inputs then some of your calculations will be incorrect. The exam is open book. You can use any resources at all to complete the quiz, but you cannot collaborate with any other people, classmates or otherwise. Your score will be based on your multiple-choice answers. But you must also submit the spread sheet used in calculations. There can be instances in which an exam question has an error, or is subject to an alternative, but reasonable interpretation. If this happens I will refer to your spread sheet in deciding whether to award a point. When you submit your quiz, make sure you give me the following information. □
Your letter answer for each question (in the quiz response and in the first work sheet of your spread sheet under “Answer”). □
Your numerical answer for questions that have a numerical solution (in the quiz response and LINKED to your computations in your spread sheet in the first work sheet under “Computations”). □
Your computations in Excel. Don’t just give me your final numerical solutions – I want to see the actual computations you performed.
FIN 415 Corporate investment decisions Quiz 3 2 Questions Question 1: Market risk premium In the data file you have the following information. □
Annual levels of the S&P 1500 total returns index; □
Government bond yields for bonds with a 10-year maturity at the start of each year, expressed as an effective annual rate; and □
Annual levels of the seasonally-adjusted consumer price index. Assume that, today, the 10-year government bond yield is 0.92% and a reasonable estimate of inflation is 1.88%, both expressed as an effective annual rate. In class we discussed two ways of estimating the market risk premium based upon historical sharemarket returns and government bond yields. Estimate the market risk premium today, based upon the average of the two approaches we used to estimate the market risk premium from historical data. 1.
What is your estimate of the market risk premium? a.
5.7% to 6.0% b.
6.0% to 6.3% c.
6.3% to 6.6% d.
6.6% to 6.9% e.
6.9% to 7.2% f.
7.2% to 7.5% g.
7.5% to 7.8% h.
7.8% to 8.1% i.
8.1% to 8.4% j.
8.4% to 8.7%
FIN 415 Corporate investment decisions Quiz 3 3 Question 2: Cost of equity Your task is to estimate the cost of equity for a company in the health care facilities industry. Your analysis will rely, in part, on the Capital Asset Pricing Model and, in part, on the relationship between leverage and the cost of equity. There are 3 comparable firms in the dataset: Hanger, HCA and Davita. The table below shows the comparable firms’ market capitalization and debt in $ million. The data file has weekly stock returns for these 3 companies and the S&P 1500 index. Assume each comparable firm maintain its same leverage in percentage terms in all historical and future years and that the cost of debt for comparable firms and the firm you will analyze is 4%. Comparable firm Hanger HCA Davita Market capitalization 881 53,318 12,132 Debt 499 33,722 8,108 Your task is to estimate the cost of equity for a health care facilities company assuming a risk-free rate of 2%, market risk premium of 6%, cost of debt of 4% and debt/(debt + equity) of 20%. Assume leverage will remain constant in percentage terms in all forecast years. Do not use median in any computations. 2.
What is your estimate of the cost of equity? a.
7.75% to 8.00% b.
8.00% to 8.25% c.
8.25% to 8.50% d.
8.50% to 8.75% e.
8.75% to 9.00% f.
9.00% to 9.25% g.
9.25% to 9.50% h.
9.50% to 9.75% i.
9.75% to 10.00% j.
10.00% to 10.25%
FIN 415 Corporate investment decisions Quiz 3 4 Question 3: Exchange rates You have been asked to perform a valuation of an apparel retailer in the United Kingdom. The business generates cash flows in British Pounds and your valuation will be in U.S. dollars. Today, 1 U.S. dollar is worth 0.7561 British Pounds. The list below shows 1- and 2-year forward currency rates, and the yield to maturity on 5-year government bonds in the U.K. and the U.S., expressed as effective annual rates.. □
1-year forward rate: 1 U.S. dollar = 0.7546 British Pounds □
2-year forward rate: 1 U.S. dollar = 0.7528 British Pounds □
5-year government bond yield U.S. = 0.36% □
5-year government bond yield U.K. = -0.12%. The projected free cash flow to the firm, in British Pounds, is £100 in forecast year 1, and you think cash flows will grow at 6% each year for 4 years, and then grow at 4% per year in perpetuity. The weighted average cost of capital, from the perspective of a U.S. investor, is 8%. What is the enterprise value in U.S. dollars? 3.
What is the enterprise value in U.S. dollars? a.
$3,570 million to $3,600 million b.
$3,600 million to $3,630 million c.
$3,630 million to $3,660 million d.
$3,660 million to $3,690 million e.
$3,690 million to $3,720 million f.
$3,720 million to $3,750 million g.
$3,750 million to $3,780 million h.
$3,780 million to $3,810 million i.
$3,810 million to $3,840 million j.
$3,840 million to $3,870 million
Your preview ends here
Eager to read complete document? Join bartleby learn and gain access to the full version
- Access to all documents
- Unlimited textbook solutions
- 24/7 expert homework help
Related Questions
TOPIC: ENGINEERING ECONOMICS
SPECIFIC INSTRUCTION: Solve each problem NEATLY and SYSTEMATICALLY. Show your
COMPLETE solutions and BOX your final answers. Express all your answers in 2 decimal places.
PROBLEM:
Find the exact and ordinary interest on Php 5,000 at 19 % for 30 days.
arrow_forward
9 Concept 1: Competition & Dep x
9 16.4 Savings plan homework u x
Login - Powered by Skyward
9 Paired Selections - STAAR Prep x
A my.hrw.comAwwtb/api/viewer.pl
O Personal Math Trainer
Lesson 16.4 - Homework-Homework
3
6 7
Round your answers to two decimal places, if necessary.
At the beginning of each of the last three years, Lucas put $7,000 from his earnings as a waiter into a
college savings account that earned 1.7% interest compounded annually. Now he will spend an
estimated $21,600 to attend his local community college for 2 years and not take out a student loan.
Complete the table to determine whether Lucas has saved enough money to attend community college.
2
3
Year
1
Beginning balance
$0
Amount deposited
$7,000
$7,000
$7,000
New balance
$7,000
$
Amount of interest earneds
Ending balance
$
Lucas (select)
v enough money to attend community college.
v Check Answer
Ne
Question 5 of 8
P Search
ILLUCH
arrow_forward
solve using the appropriate formulas show full workings and find the answer. DONT USE EXCEL TO
SOLVE ANYTHING ONLY USE RELEVANT FORMULAS TO SOLVE AND SHOW ALL WORKINGS
5. You have $33,556.25 in a brokerage account, and you plan to deposit an additional $5,000 at the end
of every future year until your account totals $220,000. You expect to earn 12% annually on the account.
How many years will it take to reach your goal?
arrow_forward
A https://mybusinesscourse.com/platform/mod/quiz/attempt.php?attempt33019128&cmid%3D204453&page%3D1
E BusinessCouse
A Return to course
* My Sub
M6: MBC Exercises Ch. 6 Navigation
Finish attempt
Question 2 Not complete
Mark 0.00 out of 1.00
P Flag question
Margin of Safety
Yellow Sticker Company's variable expenses are 40% of sales. The company has monthly fixed expenses of $15,000 and sells each unit for $0.50. The monthly target operating income is $7,500.
a. What is the monthly margin of safety in dollars if Yellow Sticker Company achieves its operating income goal?
SO
x in dollars
b. What is the monthly margin of safety in units if Yellow Sticker Company achieves its operating income goal?
x units
Check
You have correctly selected 0.
Incorrect
Marks for this submission: 0.00/1.00.
O Previous
B Save Answers
arrow_forward
Courses
Mastering Chernie X
2MateryCheme X
loud/modules/unproctoredTest.QuestionSheet
McCraith-Sectic x
Updte
Help Caroline Achienge S01243611acadceduLogout
all 2021 I Chapter 1 Consumer Finance / Section 1.5 Digital Exercises
Gradebook.
Extemat
kercises
Remaining Time Unimted
Suppose you are paid $3,000 per month and your employer's 401(k) matches your contributions by 10% up to a
maximum of 15% of your pay. Assuming you max-out your retirement savings and you work for 25 years, how
much will the 401(k) be worth when you retire (if you can get an APR of 8% during your work years)? If you are
taxed at a rate of 27%, then how much will you have when you retire?
Round all answers to 2 decimal places.
Before taxes retirement amount $
Number
After taxes retirement amount $
Number
Submit Assignment
Quit & Save
Васк
Question Menu 4
Next
38°F Partly sunny A 0)
411 PM
11/19/202
end
home
delete
prt sc
144
4+
4-
40
num
lock
backspace
&
8.
6.
7.
home
|近
arrow_forward
Bark and Bliss Limited is a pet supply company headquartered in Edmonton, Alberta. They have four different lines
of business. Here is an excerpt of their financial statements for the December 31, 2020 fiscal
year:
Dog Walking
Brick &
Division
Online Shop
Pet Training
& Pet Care
Mortar Stores
Sales
$1
22,500,000
13,980,000
27,630,500
5,407,000
Net operating income
$4
1,250,000
1,840,000
2,845,200
1,134,750
Average operating assets
$1
7,580,000
8,275,000
14,500,000
5,250,000
Bark and Bliss Limited has a policy that all investments must have a rate of return of at least
15%.
Required:
a. What is the return on investment for each of Bark and Bliss' four lines of business? Round your calculations to
one decimal place,
b. If the Online Store division was able to reduce its operating expenses by $57,000, what would be its new return
on investment?
Acti
c. What is the residual income for each of Bark and Bliss' four lines of businessa
Go to
arrow_forward
все
Google Chrome - D...
My Learning Progre... N Northwestern Univ...
Solution Manual Fo... Business Law
Question 28 of 40
View Policies
Show Attempt History
<
Current Attempt in Progress
X Your answer is incorrect.
0/0.3
Your grandfather has agreed to deposit a certain amount of money each year into an account paying 7.90 percent annually to help you
go to graduate school. Starting next year, and for the following four years, he plans to deposit $2,350, $8,600, $7,200, $6,600, and
$12,150 into the account. How much will you have at the end of the five years? (Round answer to 2 decimal places, e.g. 15.25.)
Future value at end of five years
eTextbook and Media
Save for Later
Using multiple attempts will impact your score.
20% score reduction after attempt 2
Q Search
41719.11
GUND
Attempts: 1 of 3 used Submit Answer
arrow_forward
The Elberta Fruit Farm of Ontario has always hired transient workers to pick its annual cherry crop. Janessa Wright, the farm
manager, just received information on a cherry picking machine that is being purchased by many fruit farms. The machine is a
motorized device that shakes the cherry tree, causing the cherries to fall onto plastic tarps that funnel the cherries into bins. Ms.
Wright has gathered the following information to decide whether a cherry picker would be a profitable investment for the Elberta
Fruit Farm:
a. Currently, the farm is paying an average of $250,000 per year to transient workers to pick the cherries.
b. The cherry picker would cost $540,000. It would be depreciated using the straight-line method and it would have no salvage
value at the end of its 5-year useful life.
c. Annual out-of-pocket costs associated with the cherry picker would be: cost of an operator and an assistant, $80,000
insurance, $4,000; fuel, $12,000, and a maintenance contract. $15,000.
Click…
arrow_forward
6.2 Saving and Investing
n.hawkeslearning.com/Portal/Lesson/lesson_practice#
niversity
X
Question 9 of 13, Step 1 of 1
X
- Save & Exit Practice Lesson: 6.2 Saving and Investing
Lesson 6.2 Saving and Investin X
Answer
How to enter your answer (opens in new window)
Ⓒ2024 Hawkes Learning
$350
Your answer is incorrect. Please choose one of the following:
Google Chrome - The Fast & Sex
3/13
Correct
Lateral Flexion: What Is It and
Molly starts an IRA (Individual Retirement Account) at the age of 28 to save for retirement. She deposits $350 each month. The IRA has an average annual interest rate of
7% compounded monthly. How much money will she have saved when she retires at the age of 65? Round your answer to the nearest cent, if necessary.
X +
GRANT GREENE
Explain Error
5
Incorrect
Formulas
Keypad
Keyboard Shortcuts
Try Again
arrow_forward
minutes, 40 seconds.
v Question Completion Status:
A Moving to another question will save this response.
Quèstion 7
According to the FASB hierarchy of fundamental qualitative characteristics, the two primary qualities making accounting information useful are
O understandability and decision usefulness
relevance and faithful representation
verifiability and neutrality
O predictive value and feedback value
A Moving to another question will save this response.
..
e Type here to search
acer
F7
F8
F9
F6
arrow_forward
experience during your exam
m. You will be given an additional ten minute submission window to allow you submit your exam to mitigate for any tecce 5sues you m
Click Save and Submit once you have completed the exam.
Itiple
empts
Not allowed. This Test can only be taken once.
rce
mpletion
This Test can be saved and resumed later.
Your answers are saved automatically.
Question Completion Status:
Close Window
A Moving to another question will save this response.
Question 2
«Question 2 of 10
Goremann Corp (GC) has a total market value of $524 million. The market value of equity is $300 million and the company carries debt valued at $224 million. The before-tax cost of debt is 9
percent and the cost of equity is estimated at 14 percent. The statutory company tax rate is 35 percent. What is the weighted-average cost of capital for the company closest to?
O A. 9.34%.
O B. 10.52%.
3 points
Save Answer
O C. 11.63%.
O D. 12.05%.
A Moving to another question will save this response.
Question 2 of…
arrow_forward
Suppose you want to have $800,000 for retirement in 20 years. Your account earns 7% interest.
a) How much would you need to deposit in the account each month?
b) How much interest will you earn?
Question Help: DVideo Message instructor
Submit Question
MacBook Air
吕口
F2
F3
F4
F5
F6
F7
F8
@
#3
$
&
*
2
3
4
5
7
8.
9
W
E
R
Y
S
D
F
G
K
N I M
arrow_forward
PART II: Open-ended Problems
Instructions: Determine a solution for each problem. Unless specifically instructed to do otherwise, enter
your final numerical answer on the THPS-2 Answer Submission Form on iCollege as follows: enter dollar
answers rounded, if necessary, to the nearest whole dollar but do not include a dollar sign or any commas
(for example, enter $23,306.84 as 23307); enter percent answer rounded to 1 decimal place, without a
percent sign and without any commas (for example, enter 0.274324 = 27.4324% as 27.4); if your answer is
a negative amount, put a hyphen before your number with no space between the hyphen and the number
(for example, enter negative 72.3984 as -72.4).
USE THE INFORMATION BELOW TO ANSWER QUESTIONS 21-23
Fertzil's Fertilizer Store, Incorporated
Balance Sheets (all amounts in dollars)
For the Years Ending December 31, 2021 and 2022
Cash
Accounts receivable
Inventory
Current assets
Net fixed assets
Total assets
Notes payable
Accounts payable
Wage & Tax…
arrow_forward
Find the interest earned on $5,750 deposited into a savings account for 3 1/2 years at an annual interest rate of 4 1/2%
a. What formula should be used?
b. What are you trying to find and what variable does it represent in the formula?
c. Solve the problem showing all of your work (must show all steps!!)
d. Interpet your answer using a complete sentence
You may use the box below to upoload a picture of your written explanation or type it out in the box. Use the "mountain"
button to add pictures.
arrow_forward
only attempt if you 100% sure otherwise skip i want correct and complete answer with full working please do not waste my question and time by giving wrong or incomplete answer hope will get right answer i will upvote .This question is very very very important for me please provide explanation computation formula million thanks
arrow_forward
about:blank
Blackboard Learn
sc.edu/webapps/assessment/take/launch isp?course assessment_id=_114
Remaining Time: 1 hour, 23 minutes, 35 seconds.
Question Completion Status:
A Moving to the next question prevents changes to this answer.
Question 1
What is the Payback Period for the following investment?
Year
1
2
3
4
5
O a. 3.77
Ob. 3.73
Oc. 3.89
Od. 3.96
Cash Out
$ (1,600,000)
(710,000)
Cash In
550,000
580,000
610,000
640,000
670,000
A Moving to the next question prevents changes to this answer.
000
900
F2
F3
F4
MacBook
arrow_forward
Multiple Choices
A company's sales in 2010 were P300,000
and in 2011 were P351,000. Using 2010 as
the base year, the sales trend percent for
2011 is: *
Choose
17%
85%
orted net sales of
d P360,000 in the
100%
12,respectively. If
iat is the trend
117%
48%
arrow_forward
100 points
Add class comment
Assume that you are a personnel officer in a
manufacturing company and that one of
your employees is a young engineering manager
called Joseph Sykes. Joseph has been
chosen to attend the local university' s Business
School to study for a diploma in management. Joseph
is reluctant to attend the course because he will have
to study accounting; as
an engineer, he thinks that it will be a waste of time for
him to study such a subject.
Required:
Draft an internal memorandum addressed to Joseph
explaining why it would be of benefit to him to study
accounting.
arrow_forward
Question A .If Alexandra deposits $1000 from her pay cheque into her cheque account and at the same time increases her credit card balance by $1500, then her wealth:
Full explain this question and text typing work only We should answer our question within 2 hours takes more time then we will reduce Rating Dont ignore this line
arrow_forward
Connect Problem 01-13 (algo)
Next Friday, you plan to sell cakes at a bake sale to raise money for your school. You plan to charge $30 per cake, and you anticipate
that you will sell 10 cakes. You can either purchase cakes to sell or bake them yourself. If you purchase the cakes, they will cost $23
each. If you bake your own cakes, your cost depends upon the number of cakes you bake, as shown in the table below.
Number of cakes
you bake
Bake
$
0
1
2
3
4
5
6
7
8
9
10
a. How many cakes should you bake? How many cakes should you purchase?
Instructions: Enter your answer as a whole number.
cake(s) and purchase
cake(s).
b. Given your answer to part a, how much in total will the 10 cakes cost you?
Instructions: Enter your answer as a whole number.
Total cost of
baked cakes ($)
0
10
22
36
52
70
90
112
136
162
190
c. How much would it have cost you to bake all 10 cakes?
arrow_forward
Assignment 6.1: Session 6 Comprehensive Problem (Chapter 8)
Instructions
In this session, we have a 6-part comprehensive problem. Download the Session 6 Comprehensive Problem Templates below to complete the 6 required parts of the problem. You will need your Bergevin and MacQueen book for reference.
Rancho Cucamonga Inc. began business on January 1, 2020. The firm earned $100 from sales in its first year of business. Rancho Cucamonga collected $90 of revenue earned in cash during 2020 and reported a $10 account receivable on its 2020 balance sheet. The firm paid $70 cash for operating expenses in 2020 and reported a $5 account payable for unpaid operating expenses on its 2020 balance sheet. Income tax laws only recognize cash collected from sales and cash paid for expenses as taxable items in the year collected or paid.
Rancho Cucamonga also reported a $10 fine, paid in cash, to the federal government for unfair business practices. Generally accepted accounting principles allow firms…
arrow_forward
Solve the question in one hour and solve only by hand . I need handwritten soloution only( not on excel etc) . I need handwritten soloution only. Pl9z solve this now in one hour and take a thumb up plz . I need a perfect
handwritten soloution plz
This question is complete i don't have any info about this. It is a complete question so plz solve this
arrow_forward
FMfcgxwLsmmztLTTFHnxfgtfwHRqwdvc?projector=18&messagePartld=0.3
Homework Assignment #3 Due in drop box 4/8 by 11:59 p.m.
Chapter 6
2. John Walters is comparing the cost of credit to the cash price of an item. If John makes an $80
down payment and pays $35 a month for 24 months, how much more will that amount be than
the cash price of $685?
5. A work-at-home opportunity is available in which you will receive 3 percent of the sales for
customers you refer to the company. The cost of your "franchise fee" is $600. How much would
your customers have to buy to cover the cost of this fee?
Chapter 7
7. Which mortgage would result in higher total payments?
Mortgage A: $985 a month for 30 years
Mortgage B: $780 a month for 5 years and $1,056 for 25 years
end
F12
home
prt sc
F10
F6
F7
F8
F9
F11
F3
F4
F5
%23
%
5
6
7
8
9
arrow_forward
Update
Saved
Help
Save & Exit
Submit
Loans are evaluated in a two-step process with two resources. The processing times for the resources are 180 seconds and 99
seconds.
Instruction: Do not round intermediate calculations. Round your answer to two decimal places.
How long does it take 7 loans to be evaluated (in seconds)?
00:11:27
seconds
00
arrow_forward
Font
Paragraph
Styles
Editing
Dictate
Editor
Paste
Undo
Clipboard
Styles
Voice
Editor
a) Will credit cards help? The average undergraduate student leaves college with a diploma and
around $2750 in credit card debt (graduate students; $4800). Suppose you have a credit card with a
balance of $2750 and an interest rate of 19.8% APR. The minimum payment is $45.00. The amount
of interest due each month is figured as current balance
where r is the rate (decimal form) and n is
12. Fill in the table, making minimum payments.
Current
balance
Month
Interest
Payment
Amount applied to principal
1
$2750.00
$45.38
$45.00
-$0.38
$2750.38
$45.00
$45.00
4
$45.00
$45.00
$45.00
$45.00
8.
$45.00
9.
$45.00
10
$45.00
11
$45.00
12
$45.00
Page 4 of 6
1011 words
DFocus
80%
P Type here to search
立
arrow_forward
ENTREPRENEURSHIP_LAS_2nd-C x
+
O File | C:/Users/user/Downloads/ENTREPRENEURSHIP_LAS_2nd-QUARTER-for-printing.pdf
...
(D Page view A Read aloud
O Add text | V Draw
9 Highlight
O Erase
18
of 29
Directions: Solve the given problem. Show complete solution.
7. 1. Carl Joshua went to Baguio and bought 20 jars of strawberry jam for P5, 000.00 with 10% discount.
When he got back to Peñablanca, he sold 10 of the jars for a total of P3,000.00 and the rest at P320.00
each. How much profit did Carl gain?
8. 2. A watch owner sold a total of 1,000 watches for P1, 000 each for the month of January. He bought
those watches from a supplier at P400 each. The business paid utilities amounting to P40, 000,
miscellaneous P30, 000, internet connection P10, 000 and interest expense of P50, 000 for January.
How much is the profit/ loss for the period?
Exercise #2: PROFITABILITY RATIO
Directions: Compute for the profitability ratios. Show complete solution.
HAKDOG CORPORATION
INCOME STATEMENT
For the period…
arrow_forward
Odysseyware
LEARN
MESSAGE
HELP
SIGN OUT
ASSIGNMENTS
COURSES
Assignment -3. Automobile Loans
Attempt 1 of 1
SECTION 4 OF 4
QUESTION 6 OF 6
1
2
3
4
>>
Mark takes out a loan for $20,000. The loan has 2% interest rate and a 2.5% APR. Complete the following statement.
The sum of the interest plus fees on this loan is
$900
$500
$600
400
TURN IT IN
O ASK FOR HELP
1124 PM
SUBMIT ANSWER
40ENG
2/6/2021
P Type here to search
Delete
144
BackncRce
&
%
#3
8
7
2
3
4
P
Y
U
arrow_forward
PowerSchool Leaming : Portal : D
A ANet Online
4DC
a login.achievementnetwork.org/tutti/learn/assignments/viewAssignment.svc?ciid3FE954372A54D406885C1144055..
A1 Math Algebra II 20-21 Form MT Online
Screen Settings
9 of 9
* Full Screen
I Sa
Main Street Bank has savings accounts that earn 0.8% interest per month. All deposits, interest payments, and account closures are processed on the first day of a month
Part A
Assume a customer deposits the same amount of money, x, in dollars, each month. Write an expression that can be used to determine how much money would be in a savings account from Main
Street Bank after n months.
Respond in the space provided.
Part B
Luciana and Valerie are both opening savings accounts at Main Street Bank and will close their savings accounts at the end of their savings strategy Luciana's savings strategy is to deposit $200
each month for 24 months. Valerie's savings strategy is to deposit $400 each month for 12 months.
Whose savings strategy will result in…
arrow_forward
Multiple Choices
A company's sales in 2010 were P300,000
and in 2011 were P351,000. Using 2010 as
the base year, the sales trend percent for
2011 is: *
Choose
17%
85%
orted net sales of
d P360,000 in the
100%
12,respectively. If
iat is the trend
117%
48%
arrow_forward
SEE MORE QUESTIONS
Recommended textbooks for you
Excel Applications for Accounting Principles
Accounting
ISBN:9781111581565
Author:Gaylord N. Smith
Publisher:Cengage Learning
Related Questions
- TOPIC: ENGINEERING ECONOMICS SPECIFIC INSTRUCTION: Solve each problem NEATLY and SYSTEMATICALLY. Show your COMPLETE solutions and BOX your final answers. Express all your answers in 2 decimal places. PROBLEM: Find the exact and ordinary interest on Php 5,000 at 19 % for 30 days.arrow_forward9 Concept 1: Competition & Dep x 9 16.4 Savings plan homework u x Login - Powered by Skyward 9 Paired Selections - STAAR Prep x A my.hrw.comAwwtb/api/viewer.pl O Personal Math Trainer Lesson 16.4 - Homework-Homework 3 6 7 Round your answers to two decimal places, if necessary. At the beginning of each of the last three years, Lucas put $7,000 from his earnings as a waiter into a college savings account that earned 1.7% interest compounded annually. Now he will spend an estimated $21,600 to attend his local community college for 2 years and not take out a student loan. Complete the table to determine whether Lucas has saved enough money to attend community college. 2 3 Year 1 Beginning balance $0 Amount deposited $7,000 $7,000 $7,000 New balance $7,000 $ Amount of interest earneds Ending balance $ Lucas (select) v enough money to attend community college. v Check Answer Ne Question 5 of 8 P Search ILLUCHarrow_forwardsolve using the appropriate formulas show full workings and find the answer. DONT USE EXCEL TO SOLVE ANYTHING ONLY USE RELEVANT FORMULAS TO SOLVE AND SHOW ALL WORKINGS 5. You have $33,556.25 in a brokerage account, and you plan to deposit an additional $5,000 at the end of every future year until your account totals $220,000. You expect to earn 12% annually on the account. How many years will it take to reach your goal?arrow_forward
- A https://mybusinesscourse.com/platform/mod/quiz/attempt.php?attempt33019128&cmid%3D204453&page%3D1 E BusinessCouse A Return to course * My Sub M6: MBC Exercises Ch. 6 Navigation Finish attempt Question 2 Not complete Mark 0.00 out of 1.00 P Flag question Margin of Safety Yellow Sticker Company's variable expenses are 40% of sales. The company has monthly fixed expenses of $15,000 and sells each unit for $0.50. The monthly target operating income is $7,500. a. What is the monthly margin of safety in dollars if Yellow Sticker Company achieves its operating income goal? SO x in dollars b. What is the monthly margin of safety in units if Yellow Sticker Company achieves its operating income goal? x units Check You have correctly selected 0. Incorrect Marks for this submission: 0.00/1.00. O Previous B Save Answersarrow_forwardCourses Mastering Chernie X 2MateryCheme X loud/modules/unproctoredTest.QuestionSheet McCraith-Sectic x Updte Help Caroline Achienge S01243611acadceduLogout all 2021 I Chapter 1 Consumer Finance / Section 1.5 Digital Exercises Gradebook. Extemat kercises Remaining Time Unimted Suppose you are paid $3,000 per month and your employer's 401(k) matches your contributions by 10% up to a maximum of 15% of your pay. Assuming you max-out your retirement savings and you work for 25 years, how much will the 401(k) be worth when you retire (if you can get an APR of 8% during your work years)? If you are taxed at a rate of 27%, then how much will you have when you retire? Round all answers to 2 decimal places. Before taxes retirement amount $ Number After taxes retirement amount $ Number Submit Assignment Quit & Save Васк Question Menu 4 Next 38°F Partly sunny A 0) 411 PM 11/19/202 end home delete prt sc 144 4+ 4- 40 num lock backspace & 8. 6. 7. home |近arrow_forwardBark and Bliss Limited is a pet supply company headquartered in Edmonton, Alberta. They have four different lines of business. Here is an excerpt of their financial statements for the December 31, 2020 fiscal year: Dog Walking Brick & Division Online Shop Pet Training & Pet Care Mortar Stores Sales $1 22,500,000 13,980,000 27,630,500 5,407,000 Net operating income $4 1,250,000 1,840,000 2,845,200 1,134,750 Average operating assets $1 7,580,000 8,275,000 14,500,000 5,250,000 Bark and Bliss Limited has a policy that all investments must have a rate of return of at least 15%. Required: a. What is the return on investment for each of Bark and Bliss' four lines of business? Round your calculations to one decimal place, b. If the Online Store division was able to reduce its operating expenses by $57,000, what would be its new return on investment? Acti c. What is the residual income for each of Bark and Bliss' four lines of businessa Go toarrow_forward
- все Google Chrome - D... My Learning Progre... N Northwestern Univ... Solution Manual Fo... Business Law Question 28 of 40 View Policies Show Attempt History < Current Attempt in Progress X Your answer is incorrect. 0/0.3 Your grandfather has agreed to deposit a certain amount of money each year into an account paying 7.90 percent annually to help you go to graduate school. Starting next year, and for the following four years, he plans to deposit $2,350, $8,600, $7,200, $6,600, and $12,150 into the account. How much will you have at the end of the five years? (Round answer to 2 decimal places, e.g. 15.25.) Future value at end of five years eTextbook and Media Save for Later Using multiple attempts will impact your score. 20% score reduction after attempt 2 Q Search 41719.11 GUND Attempts: 1 of 3 used Submit Answerarrow_forwardThe Elberta Fruit Farm of Ontario has always hired transient workers to pick its annual cherry crop. Janessa Wright, the farm manager, just received information on a cherry picking machine that is being purchased by many fruit farms. The machine is a motorized device that shakes the cherry tree, causing the cherries to fall onto plastic tarps that funnel the cherries into bins. Ms. Wright has gathered the following information to decide whether a cherry picker would be a profitable investment for the Elberta Fruit Farm: a. Currently, the farm is paying an average of $250,000 per year to transient workers to pick the cherries. b. The cherry picker would cost $540,000. It would be depreciated using the straight-line method and it would have no salvage value at the end of its 5-year useful life. c. Annual out-of-pocket costs associated with the cherry picker would be: cost of an operator and an assistant, $80,000 insurance, $4,000; fuel, $12,000, and a maintenance contract. $15,000. Click…arrow_forward6.2 Saving and Investing n.hawkeslearning.com/Portal/Lesson/lesson_practice# niversity X Question 9 of 13, Step 1 of 1 X - Save & Exit Practice Lesson: 6.2 Saving and Investing Lesson 6.2 Saving and Investin X Answer How to enter your answer (opens in new window) Ⓒ2024 Hawkes Learning $350 Your answer is incorrect. Please choose one of the following: Google Chrome - The Fast & Sex 3/13 Correct Lateral Flexion: What Is It and Molly starts an IRA (Individual Retirement Account) at the age of 28 to save for retirement. She deposits $350 each month. The IRA has an average annual interest rate of 7% compounded monthly. How much money will she have saved when she retires at the age of 65? Round your answer to the nearest cent, if necessary. X + GRANT GREENE Explain Error 5 Incorrect Formulas Keypad Keyboard Shortcuts Try Againarrow_forward
- minutes, 40 seconds. v Question Completion Status: A Moving to another question will save this response. Quèstion 7 According to the FASB hierarchy of fundamental qualitative characteristics, the two primary qualities making accounting information useful are O understandability and decision usefulness relevance and faithful representation verifiability and neutrality O predictive value and feedback value A Moving to another question will save this response. .. e Type here to search acer F7 F8 F9 F6arrow_forwardexperience during your exam m. You will be given an additional ten minute submission window to allow you submit your exam to mitigate for any tecce 5sues you m Click Save and Submit once you have completed the exam. Itiple empts Not allowed. This Test can only be taken once. rce mpletion This Test can be saved and resumed later. Your answers are saved automatically. Question Completion Status: Close Window A Moving to another question will save this response. Question 2 «Question 2 of 10 Goremann Corp (GC) has a total market value of $524 million. The market value of equity is $300 million and the company carries debt valued at $224 million. The before-tax cost of debt is 9 percent and the cost of equity is estimated at 14 percent. The statutory company tax rate is 35 percent. What is the weighted-average cost of capital for the company closest to? O A. 9.34%. O B. 10.52%. 3 points Save Answer O C. 11.63%. O D. 12.05%. A Moving to another question will save this response. Question 2 of…arrow_forwardSuppose you want to have $800,000 for retirement in 20 years. Your account earns 7% interest. a) How much would you need to deposit in the account each month? b) How much interest will you earn? Question Help: DVideo Message instructor Submit Question MacBook Air 吕口 F2 F3 F4 F5 F6 F7 F8 @ #3 $ & * 2 3 4 5 7 8. 9 W E R Y S D F G K N I Marrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Excel Applications for Accounting PrinciplesAccountingISBN:9781111581565Author:Gaylord N. SmithPublisher:Cengage Learning
Excel Applications for Accounting Principles
Accounting
ISBN:9781111581565
Author:Gaylord N. Smith
Publisher:Cengage Learning