Calculate the following from the information provided below: 3.2.1.Net profit or loss 3.2.2. The number of units that must be sold to obtain a profit of R1 000 000.
Q: Your investment over one year had a realized return of 9% and a dividend yield of 6%. If the sale…
A: When we make an investment in a financial asset or a security we hope that we will be able to get a…
Q: INDTAP work Q Search this co Quantitative Problem 2: You and your wife are making plans for…
A: Present value is an estimate of the present value of future cash values that may be received at a…
Q: Chevron Corporation has a capital and exploratory budget for oil and gas production of $19.6 billion…
A: A financial concept known as "present worth" determines the present value of future cash flows or a…
Q: The equipment will require an investment of $120,000 and an operating horizon of 7 years is…
A: NPV is the most used method of selection of projects based on the time value of money and can be…
Q: A retail store sells a popular cosmetic called Devine and the store manager was given $140,000 by…
A: The value of loyal customer (VLC) can be calculated by Calculation of VLC:Formula used:Since option…
Q: A $1,000 face value bond of Acme Inc. pays an annual coupon and carries a coupon rate of 7.5%. It…
A: Coupon bonds are debt securities that pay periodic interest, known as coupons, to bondholders. These…
Q: Present Value. Winners of the Georgia Lotto drawing are given the choice of receiving the winning…
A: Present value is an estimate of the present value of future cash values that may be received at a…
Q: Donna Clark wants to open a restaurant in a historic building. The property can be leased for 20…
A: Present value is the present value of all future cash flows discounted at the cost of capital.
Q: Ann obtains a fully amortizing 30-year Fixed Rate Mortgage with monthly payments for the $1,500,000…
A: Compound = Monthly = 12Time = t = 30 * 12 = 360Principal Amount = p = $1,500,000Interest Rate = r =…
Q: Analysts and investors often use return on equity (ROE) to compare profitability of a company with…
A: If a company takes actions to improve its expected future profits, it doesn't always mean that its…
Q: evaluate and discuss four reasons why it is necessary to regulate banks, especially after the COVID…
A: The COVID-19 pandemic underscored the importance of a robust and resilient banking sector, bringing…
Q: Fergie has the choice between investing in a State of New York bond at 10.0 percent and a Surething…
A: "Investment" refers to the action of placing funds or resources into things or endeavors in the…
Q: t is July 2020. A mining company has just discovered a small deposit of gold. It will take six…
A: Hedging is a financial strategy used to reduce or mitigate risk by taking an offsetting position in…
Q: Suppose you are in the 35% tax bracket (because you make $210,000) and have $6000 to put into a…
A: A traditional IRA is a retirement savings account that offers tax benefits. When you contribute…
Q: A. Joe is the fund manager. His fund begins with $10 million and has the following monthl returns:…
A: The average arithmetic monthly return is simply the sum of the individual monthly returns divided by…
Q: You have just purchased a new warehouse. To finance the purchase, you've arranged for a 30-year…
A:
Q: A firm is considering an investment in a new machine with a price of $17.6 million to replace its…
A: The process that helps an investor/entity to decide whether to accept or reject any…
Q: 8.8 Stock Splits 1. Victor owned 240 shares of a stock before the corporation instituted a 7-for-4…
A: Stock-split refers to an increase in the no of shares by allotting the split shares to the…
Q: 2. Mary owns common stock in Carl's Pooch Place. The annual dividend is $1.87. The current price is…
A: When the company receives profits and distributes them among the shareholders. That share of profit…
Q: Lindsay is 25 years old and has a new job in web development. She wants to make sure that she is…
A: We can solve questions a and b using the FV of annuity formula below. In question a we need to…
Q: YOUR BANK is thinking to issue a regular coupon bond (debenture) with following particulars:…
A: Bonds refer to instruments that are issued by companies to raise debt capital from non-traditional…
Q: Williamson Industries has $4 billion in sales and $1.774 billion in fixed assets. Currently, the…
A: Operating capacity is that level or capacity at which business is being operated. Fixed assets are…
Q: Imagine that Homer Simpson actually invested the $120,000 he earned providing Mr. Burns…
A: Future Value:The future value is the amount that will be received at the end of a certain period. In…
Q: Collateral may mean the acquisition of rights over either assets belonging to a borrower and/or the…
A: Collateral is a financial concept that involves using assets as a form of security in lending and…
Q: You are running a hot Internet company. Analysts predict that its earnings will grow at 10% per year…
A: Present value is that amount which is calculated with the help of future benefits from the…
Q: Zetterberg Builders is given two options for making payments on a brush hog. Find the value of X…
A: To be indifferent in between two options is that both options have same value today based on time…
Q: You have a loan outstanding. It requires making five annual payments of $2,000 each at the end of…
A: Annual payments for a loan carry the payment for interest and payment for the loan also but these…
Q: Answer questions 6 to 10, based on the following information about the returns of stock stock B.…
A: According to bartleby guidelines , if question involves multiple sub parts , then 1st sub 3 parts…
Q: Jasmine has decided that she wants to build enough retirement wealth that, if invested at 6 percent…
A: Present value is an estimate of the present value of future cash values that may be received at a…
Q: (Related to Checkpoint 5.4) (Present value) Sarah Wiggum would like to make a single investment and…
A: Variables in the question: FV=$2.4 millionN=35 yearsRate=7% (annually)
Q: 3. Susie bought a $1000 corporate bond. The bond pays 6.4% interest per year. If Susie holds the…
A: Bonds are debt instruments issued by companies. A company can raise its finances or funding either…
Q: Tireless Wheels Limited has no debt financing and has a value of $60 million and EBIT of $25…
A: WACC refers to the return that the company provides to all its stakeholders (common shareholders,…
Q: (1 point) Suppose that a stock price is currently 57 dollars, and it is known that five months from…
A: Data given:S0=$57u =1.17d=0.83Strike price=$54Risk free rate=7% p.a.
Q: You deposit $200 in an account earning 8% compound interest for 5 years. Find the future value and…
A: The problem case wants to calculate the future value of deposits at an interest rate. The future…
Q: avings currently are invested in an investment product generating 5.2% EAR. You are considering…
A: Value today of the investment is the present value of cash flow from the investment based on the…
Q: The variance of A is 0.15, the variance of B is 0.45. The correlation between A and B is -0.76. The…
A: A portfolio is made up of investments in two or more different financial assets or two or more…
Q: You are bearish on Telecom and decide to sell short 100 shares at the current market price of $36…
A: Margin refers to the money which has been borrowed from the broker for the purpose of purchasing the…
Q: (Liquidity Analysis) The King Carpet Company has $3,150.000 in cash and a total of $12,480,000 in…
A: The current ratio shows the paying capacity to meet short-term liabilities with the available amount…
Q: Rebate Versus Low Interest Rate Kyle Parker of Concord, New Hampshire, has been shopping for…
A: PR or Annual Percentage Rate is defined as the annual interest, which is generated through sums that…
Q: 6. Consider the cash flow diagram below. The interest rate will be 6% the first two years, 10% the…
A: The problem case focuses on calculating the present value of cash flows that are subjected to the…
Q: Assume contunious compounding and continuous payments for the following problem. Suppose you charge…
A: The time value of money (TVM) is a fundamental financial concept that reflects the idea that a sum…
Q: one bond has a coupon rate of 5.6%, another a coupon rate of 8.3%. Both bonds pay interest annually,…
A: A bond is a kind of debt security issued by the government and private companies to the public for…
Q: f the rate of inflation is 3.9% per year, the future price pt (in dollars) of a certain item can…
A: The act of generating interest on both the initial investment and any prior interest is referred to…
Q: Select all the following statements that are true. Assume Gross Profit (Sales - COGS) for any…
A: Gross profit represents the fundamental profitability of a company's core business activities,…
Q: To calculate the number of years until maturity, assume that it is currently January 15, 2022. All…
A: Bond refers to the financial instrument that is issued by the government in order to provide funds…
Q: What principal deposited 5 years ago will grow to $24,836.85 in 4 years and 5 months from now if…
A: Present value describes how the value of money is more valuable than the future value of money.…
Q: Suppose we observe the following rates: 1R₁ = 6.2%, 1R2 = 7.1%, and E(21) = 6.2%. If the liquidity…
A: Given information,1r1: 1r2: e(2r1): To calculate,Liquidity premium
Q: calculate the amound of the final withdrawl
A: First we need to determine the value of the deposits using a FV of annuity due formula as below:In…
Q: Jack Fraizer has the opportunity to invest in a project. The cost of the project is R8 million, with…
A: Pay-Back(PB) Period shows time period required to fully recover initial outlay through successive…
Q: 1 2 3 4 -19.9% 16.7% 19% -50% 5 6 7 43.2% 1.3% -16.4% ) What is the average annual return over the…
A: Average rate of return is the simple average rate of return and computed as sum of all divided by…
Step by step
Solved in 3 steps with 4 images
- Which of the following does not represent a cost-volume-profit analysis equation? O a. Contribution margin - fixed expenses - profit = 0 O b. Profit = contribution margin + fixed expenses O c. Sales = total expenses+ profit O d. Sales- fixed expenses – variable expenses = 0 O e. Sales+ fixed expenses + profit = contribution margin + sales US PAGE NE re to search 144 ort sc delete home %23 & 4. backspace R T. U D G K enter pause C M alt ctrlManagement has at its disposal the following information: Revenue function: R =890Q ‒5.5Q2 The profit-maximizing price: P=494 OMR. Then the Profit-maximizing quantity is (............) Units. (write only the number) Answer:Activity 2: Complete me! Directions: Fill in the needed data to complete the table below. Unit B.E.P in B.E.P in Selling Price per Unit Variable Cost per Unit Total Fixed Cost Contributio Units Pesos n Margin P19,500.00 P15.00 P13.00 P960.00 P18.00 P15.00 P24.00 P3.00 69 P34.00 P3.00 150 P27.00 P5.00 100 2. 3. 4.
- Direction: Read carefully and answer the questions below. Encircle the letter of the correct answer. 1. Which of the following is an example of a variable cost? а. interest b. ingredients с. insurance d. lease 2. What type of cost varies depending on the quantity of products being produced? а. fixed b. net sales с. total d. variable 3. Which among the following concepts is usually seen on the top item in an income statement from which all costs and expenses is subtracted to arrive at net income? a. fixed cost b. net sales с. total cost d. variable cost 4. When do we obtain the break-even point? When the fixed cost is equal to the total cost When the total cost is equal to the variable cost When the variable cost is equal to the fixed cost d. When the number of units of goods sold covers the all the costs а. b. с. 5. Which of the following is NOT true? а. The fixed cost does not vary over time. b. The total cost is the sum of the fixed cost and the variable cost. с. The total cost is…46. Revenue, cost, and profit. The price-demand equation and the cost function for the production of HDTVS are given, respectively, by x 9,000 - 30p and C(x) = 150,000 + 30x where x is the number of HDTVS that can be sold at a price of $p per TV and C(x) is the total cost (in dollars) of produc- ing x TVs.1. Company ABC produces and sells product X. Using information given below calculate Total Revenue (TR), Average Revenue (AR) and Marginal Revenue (MR).. Solution should be Excel format Quantity Price per product (EUR) Total Revenue (EUR) Average Revenue (EUR) Marginal Revenue (EUR) 1 100 100 100 100 2 95 190 95 90 3 90 270 90 80 4 85 340 85 70 5 80 400 80 60 6 75 450 75 50 7 70 490 70 40 8 65 520 65 30 9 60 540 60 20 10 50 500 50 -40
- /quiz/attempt.php?attempt3D1457214&cmid%3D719121&page%3D8%#3question-1620910-30 Academic O b. 38,500 O c. 56,000 O d. 101,500 e. 70,000 Clear my choice All else being equal, what happens to the unit contribution margin and the contribution margin ratio if the sales price per unit decrease? Select one: O a. Unit contribution margin increases while contribution margin ratio decreases. O b. Both unit contribution margin and contribution margin ratio increase. O c. None of the given answers. O d. Unit contribution margin decreases while contribution margin ratio increases. O e. Both unit contribution margin and contribution margin ratio are unchanged. Next page ge here to searchRefer to the pictur ebelow: Find: 1. Total Cost of Product A under ABC System2. Total Cost of Product B under ABC System3. Selling Price per unit of Product B assuming profit margin of 20% above costthe Sales Cost ( 390000)$ , Sales ( 990000)$ , Ind. Marketing ( f. ) ( 120000)$ Ind. Exp. ( f.) ( 150000)$. Ad. Cost ( 220000)$. Net profit ( using variable Cost ) ?
- Click Submit to complete this assessment. Question 4 When the gross profit percentage of costs is 32%, the gross profit percentage of sales is equal to: O 24.24% 30.07% O 26.78% O 28.65% A Click Submit to complete this assessment. O Type here to search aQ.3.5 Complete the following table by filling in the missing amounts: (6) Mark-up on Cost Price Profit Selling Price Cost (excluding VAT) (excluding VAT) (excluding VAT) 25% 1 000 100% 6 000 1 500 2 500Find the profit maximizing output given the following revenue and cost functions:R(q) = 1000q – 2q2C(q) = q3 – 59q2 + 1315q + 2000