What is disbursal rate

Q: An asset is expected to pay a cash flow of $10 every 6 months in perpetuity with the first cash flow...

A: Future value (FV) is the worth of a present asset at a future date based on an estimated rate of gro...

Q: Common stock valuation) Assume the following: the investor's required rate of return is 14 percent, ...

A: Hi There, thanks for posting the question. But as per Q&A guidelines, we must answer the first t...

Q: Assume that your father is now 50 years old, plans to retire in 10 years, and expects to live for 25...

A: An annuity is a series of payments that are all the same size and are made at regular intervals over...

Q: FMT Co has current assets that consist of cash: $20,000, receivables: $70,000 and inventory: $90,000...

A: Ratio article analyzes line-item data from the company's financial records to elicit information abo...

Q: s output has been constant at Y every year. In year 0, it finds an investment project that will incr...

A:

Q: Interest Rate Risk Which has greater interest rate risk, a 30-year Treasury bond or a 30-year BB cor...

A: Interest rate risk is the risk associated with the change in interest rates. The price of a financia...

Q: A = ? n = 00 i = 3% P = $12,000,000 Find: A

A: Discounting is a technique to compute the present value (PV) of a future amount by using an appropri...

Q: The Sisyphean Company has a bond outstanding with a face value of $1,000 that reaches maturity in 9 ...

A: Given, Face value of bond is $1,000 Maturity is 9 years Coupon rate is 8.2%.

Q: The following is the excerpt of financial information of ODDinary Corporation on December 31, 2022: ...

A: Debt-to-equity ratio depicts the composition of debt and equity used by a company in order to financ...

Q: EasyFind manufactures and sells golf balls. The company is conducting a price test to find a better ...

A:   The question is about golf balls.

Q: KYY Inc. has the following data on its 2020 financial statement Total sales 2,000,000 360,000 1,500,...

A: Return on investment can be calculated in two ways, one is using amounts of what is received divided...

Q: Sources and Uses of Cash. create the statemen of cash flows from the entries: Net income          ...

A: Statement of cashflows shows the flow of cash in the business. It consists of operating activities, ...

Q: Power Development Incorporation is expecting earnings before interest and taxes of P2 million for th...

A: In residual dividend theory, the dividend paid by the firm should be view as residual. The dividend ...

Q: Suppose you want to have $400,000 for retirement in 35 years. Your account earns 10% interest. How m...

A: We can use the concept of time value of money. Here the monthly deposit is in the form of annuity an...

Q: Consider the following cash flows: Year Cash Flow 0 –$7,400 1 2,100 2 4,700 3 1,900 4 1,600 What is ...

A: The payback period is the time to recover the cost of investment.

Q: You are an Assistant Analyst in a financial institution in your Country. Your company is interested ...

A: a. Calculate the expected return of the bond when the market price is $700 by using the EXCEL RATE f...

Q: Some recent financial statements for Smolira Golf, Inc., follow. SMOLIRA GOLF, INC. Balance Sheets a...

A: Solution:- Debt equity means the ratio of debt to the equity in the capital structure of the company...

Q: 6.1 Treasury Bonds Is it true that a U.S. Treasury security is risk free?

A: Treasury securities uses the virtual technique for every type of the market investors. Trusts, insti...

Q: ing are some of the factors that influence the market price of a corporation: I. Industry prospe...

A: Step 1 These internal and external factors can be used by investors to anticipate stock prices. Inte...

Q: What are the possible arguments for setting up a firewall between investment banks and commercial ba...

A: At the time, improper banking activity–the overzealous commercial bank involvement in stock market i...

Q: The following is the excerpt of financial information of Dreamies Corporation on December 31, 2022: ...

A: Solution:- Return on Equity (ROE) means the percentage of net income earned on the shareholder's equ...

Q: Which of the following are true statements on the principal-agent problem between corporate managers...

A: the principal-agent problem occurs when there is conflicts of interest between the principal and age...

Q: The alternatives are mutually exclusive and the MARR is 6% per year. Which alternauve selected? (ize

A: Semi annual effective interest rate can be defined as the compounded interest rate for six months. C...

Q: in one year, the primary concern

A: Step 1 Before investing in a bond, understand two things about risk: your risk tolerance and the ris...

Q: CDE Co. has the following assets: Cash = P64,800, Accounts Receivable = P684,800, Inventory = P161,7...

A: Assets are the revenue-generating property of the business. Current assets are the assets that can b...

Q: A firm evaluates all of its projects by applying the IRR rule. Year Cash Flow 0 –$ 148,000 1 68,000 ...

A: IRR is the internal rate of return generated by project. IRR is the rate at which NPV of project is ...

Q: Calculate the future growth rate for Solarpower's earnings. . If the investor's required rate of ret...

A: Growth Rate: It refers to the percentage change of a particular variable for a given period of time...

Q: Which of the following statements is the most reasonable conclusion from the given information below...

A: Ratios are the financial measure which are used to measure the growth and performance of the company...

Q: Leah invested $875 at the end of every month into an investment fund that was earning interest at 3....

A: Time value of money (TVM) refers to the concept which proves that the value of money today is higher...

Q: Transaction costs In late December you decide to sell a losing position that you hold in Twitter so ...

A: Bid/ask spread Bid/ask spread is referred to as that amount which is the difference between the high...

Q: If you have $2,500 to invest and need to withdraw $4,430 at some time in the future, what is the min...

A: Amount for investment =  $2500 Interest rate = 5% Withdraw after some time = $4,430

Q: The total asset of Harvey Merchandising is Php 2,500,000. If the debt ratio is 48.5% and debt-to-equ...

A: Debt ratio Debt ratio is debt (D) divided by total assets (A). Here, total assets (A) is equal to th...

Q: You have the following information regarding the bond ABC. Semiannual $25 payments YTM 8% Maturity (...

A: Given, The face value of bond is $1,000. Semi annual payments $25 YTM is 8% and term to maturity is ...

Q: Suppose that the treasurer of IBM has an extra cash reserve of $100,000,000 to invest for six months...

A: Exchange rate risk is the risk of unexpected changes in the two country's exchange rates. The exchan...

Q: plete your last year in business school and then go through law school, you will need $10,000 per ye...

A: The present value of the money needed today is the required money to sustain the four year education...

Q: Antiques ‘R’ Us is a mature manufacturing firm. The company just paid a dividend of $11.90, but mana...

A: Share value today = Dividend next year/(Required rate of return - Growth rate)   Dividend next year ...

Q: how much will this collection be worth when that time comes?

A: Future Value: It represents the future worth of the present sum of money and is computed by the pro...

Q: if a 11% coupon callable bond with a par of 100 is maturing in 5 years and yielding 11.6% and the yi...

A: Callable Bonds and call premium: When a company reserves the right to call a bond before the maturit...

Q: What is the compound amount and interest if Php 10,000 is invested at 3.6% compounded monthly for 2 ...

A: we know that, A=P(1+rn)n×t now, A= amount after time + (future value) P= principal amount (initial v...

Q: For the past year, Hawkeye, Inc., had a cost of goods sold of $63,882. At the end of the year, the a...

A: Accounts payable turnover in days is used to signify how long it takes a company to clear its payabl...

Q: Rain company whose tax rate is 40% has a total asset of P500,000,000 and earnings before interest an...

A: Interest Payment is calculated on the debt part out of the total funds of the company. Net Income is...

Q: below the letter representing,  write the importance of such research in daily life.  A. Digital Ag...

A: Uses of these researches in daily life. A. Digital Age This is to state that the curve of technologi...

Q: Problem 3: Straight Bonds, Semiannual ABC Corporation plans to issue pieces of 12%, 10-year, P1,000...

A: Yield to maturity (YTM) on a bond is the rate of return which investors would earn if the bond is he...

Q: Spotless Cleaning Ltd wishes to evaluate an investment on a particular washing machine. In your role...

A: Net present value is the difference between present value of cash inflows and present value of cash ...

Q: Using linear interpolation, How long it will take for 7,350 to amount to 18,500, if invested at 8% m...

A: A statistical method which is used to find unknown values of a security like its maturity, yield, et...

Q: Assume the time from acceptance to maturity on a $10,000,000 banker's acceptance is 90 days. Further...

A: We can calculate the amount that the exporter pays in discounting by applying the required formula. ...

Q: Eyes.com has a new issue of preferred stock it calls 20/20 preferred. The stock will pay a $20 divid...

A: The value of preferred stock will be the present value of the perpetual dividend to be paid over the...

Q: The following expression can be used to find the value of a constant growth stock. P0 = D0 / Ks + g

A: Stock is one of a company's securities which is issued by the company to arrange the funds. Value of...

Q: Suppose the government decides to issue a new savings bond that is guaranteed to double in value if ...

A: Given: Bond cost (PV) $50 Years(NPER) 22 Future value(FV) $100  

Q: Consider two lotteries. Lottery A is such that an individual receives a prize of 1.25 units of a con...

A: The expected value is determined by multiplying the probability with its units. This is expected val...

Instruments of Foreign Exchange Market

Foreign exchange is a worldwide market in which one nation’s currency is converted into another nation’s currency. In further terms, exchanging of nations currency with foreign currencies. Foreign exchange happens at a specified rate which is termed the foreign exchange rate. The exchange rates are not constant continuously changing as they are derived by market forces of supply and demand. Widely used foreign currencies are the United States- dollar, Euro, Japanese Yen, British pound, and Australian dollar. US- dollar is the most denominated foreign currency. The Euro to US dollar is a widely used currency pair in the forex market as these two currencies represent the world’s enormous economy. Forex trade is simple as exchanging currencies at the bank. The main players of forex markets are the central banks, financial institutions, intermediaries, investments banks, and other banks. Central Bank is the supreme player who decides the currency value of their own nation on the forex market. Mostly foreign exchange-traded at FX market (forex market) when tourists’ visits a foreign country, import, and export happens between two countries.