Q: The future value of an investment is Php5,500,000 while its present value is Php3,500,000. It has a ...
A: Let the quarterly rate = r n = 13 years = 52 quarters Future value (F) = Php 5500000 Present value (...
Q: You are a manager at Northem Fibre, which is considering expanding its operations in synthetic fibre...
A: Free Cash Flow: It is the amount by which operating cash flow of business exceeds its working capi...
Q: discuss in detail the adminstration of financial management within the public sector
A: Financial management include applying general management concepts to the enterprise's financial reso...
Q: ABC Corporation will be issuing serial preference share. A piece has a par value of 6000, coupon rat...
A: Par value = 6000 Coupon = 14% of 6000 = 840 n = 3 years r = 15%
Q: Why do you think a single WACC is not applicable to all businesses in a corporation?
A: The W.A.C.C. or Weighted Average Cost of Capital determines the required rate of return of common st...
Q: pay off the loan earlier. If you are able to do this each month, by how many years will you shorten ...
A: Mortgage: It represents the loan taken by the borrower to purchase homes or other types of real esta...
Q: One-year T-bills yield 1.00%. Based on future rates, the market expects that one year from now, new ...
A: Pure Expectations Theory (PET) is used to compute the future rates because this theory defines that ...
Q: Identify the concept of an optimal capital structure for a business firm.
A: We already know that a firm needs finances to run its business. Broadly we classify these finances i...
Q: 35.25 35.25 34.05 34.05 34.48 2,541,5 2022 36.10 36.20 34.80 35.25 35.24 2,491,100 2022 36.25 36.80 ...
A: Prices of stocks may go up and down according to the trend in the market. Investors buy and sell acc...
Q: One of the roles of financial markets is to: O A. conduct fiscal policy. O B. transfer funds from le...
A: In today's era of globalization, Financial market is the most important and indispensable part of a...
Q: What is the possible negative consequence of the food business having a long average age of inventor...
A: Days sale of inventory refers to the average age of inventory. It computed using the formula: days s...
Q: The value of $60 deposited in a bank for six years at a rate of 10% compounded annually is: O $96.36...
A: Compound interest is the amount of interest which is being charged or received on amount of principa...
Q: Please answer this question correctly ASAP. Thank you
A: Annual return = (Current value / Past value)^(1/Time) - 1
Q: Two alternative machines (A and B) have been suggested each costing 4,50,000. C. Flow After Tax (CFA...
A: Net рresent vаlue (NРV) is the differenсe between the рresent vаlue оf саsh inflоws аn...
Q: In bankruptcy, which of the following lose (choose all that apply)? The community Clients/suppliers ...
A: Bankruptcy is the state where an individual or a business organization is bound to surrender itself ...
Q: EBIT is $12,000 and interest expense is $3,000. If the tax rate is 20%, what is the net income? O $7...
A: EBIT = $12000 Interest expenses = $3000 Tax rate = 20%
Q: Candy Company had sales of $320,000 and cost of goods sold of $112,000. What is the gross profit mar...
A: Gross profit margin helps in assessing how much the company has after paying all the costs which are...
Q: Assume the total cost of a college education will be $360,000 when your child enters college in 15 y...
A: Future value required (FV) = $360,000 Present value (PV) = $58,000 Period (n) = 15 Years
Q: You purchase 21 call option contracts with a strike price of $115 and a premium of $4.40. Assume the...
A: To Find: Dollor profit in both cases
Q: Accumulate $2000 for 3 years at 7% simple interest. O I = $420; F = $2420 %3D %3D O 1= $4200; F= $64...
A: Amount (P) = $2000 n = 3 years r = 7%
Q: The formula below tells us how to obtain the maturity value on a simple discount loan if we are give...
A: Simple discount rate = 7.56% How many years for debt to double? Assuming Debt = 100 Future Value = 2...
Q: You have been offered a project paying $300 at the beginning of each year for the next 20 years. Wha...
A: Annual payment (P) = $300 Interest rate (r) = 9% Period (n) = 20 Years
Q: Daryl borrowed $5,440 for 4 years. If the loan's annual simple discount rate was 4.1%, how much did ...
A: Amount borrowed (P) = $5,440 Time (T) = 4 years Rate (R) = 4.1% Total amount to be returned = Princi...
Q: Assume your organization wishes to make a Php 200,000 investment with a private equity firm in 2021....
A: NOTE :- As your question contains multiple subparts , the first two subparts are solved for you , fo...
Q: Navistar Electric issued 1000 debenture bonds 5 years ago with a face value of $5,000 each and a bon...
A: A Bond is an instrument that represents the loan that is made by the investor to the company and af...
Q: The Paulson Company's year-end balance sheet is shown below. Its cost of common equity is 16%, its b...
A: Data given: Cost of equity(Ke) = 16% Before-tax cost of debt (Kd) = 8% Tax rate (T) = 25% Total debt...
Q: Norm and Tanya earn about the same salary and are undertaking a life insurance needs analysis for on...
A: As per the information provided : Nominal projected investment return = 8% Per annum Inflation = 3% ...
Q: XYZ's receivables turnover is 4x. The accounts receivable at year-end are $600,000. The average coll...
A: Receivable turnover ratio is calculated as follows: = Net credit sales / Average account receivable
Q: The cash price of a motorcycle is Php325,000. A fixed amount is to be paid at every end of the month...
A: Here, Cash Price of Motorcycle is Php325,000 Time Period (n) is 1.5 years Interest Rate (r) is 9% Co...
Q: ABC has a major supplier that offers a credit term of 2/15, n/45. Cash not yet used for payments are...
A: To calculate simple effective cost and compounded annual effective cost , it is required to calculat...
Q: Use the table for the question(s) below. Consider the following income statement and other infor...
A: Diluted earnings per share = Net income + savings in income due to conversion of debt to equity/ sav...
Q: Peter Sheffield has Euros (E) amounting to €500,000 and is provided with the following quotes: Bank ...
A: To determine whether an arbitrage opportunity exists or not, it is required to analyze the buying an...
Q: Miller invested P15,250 for 10 years and received P9,150 in simple interest. What was the rate of th...
A: As you have asked multiple questions in this question, we will solve the first question as per the p...
Q: Compute the present value for each of the following bonds: a. Priced at the end of its fifth year, a...
A: A bond is a financial instrument issued by large business organizations and governments to raise deb...
Q: Which option gives the right to buy an asset any time prior or to maturity? * A. European Call B. Am...
A: An option is a financial derivative instrument that derives its value from an underlying. The option...
Q: Loans You have a $6,000 credit card debt, and you plan to pay it off through monthly payments of $15...
A: Loan amount (PV) = $6000 Monthly payment (P) = $150 Interest rate = 15% Monthly interest rate (r) = ...
Q: For your area finance evaluate how appropriate the executive performance measures and incentives are...
A: The question is based on the concept of performance link incentives for top-level managers. The exec...
Q: Use the following information to answer the question(s) below. Expected Liquidating Dividend $920 Ma...
A: Beta of Nielson motors (B) = 1.40 Risk free rate (RF) = 3% Market risk premium (RP) = 5%
Q: What is the primary objective of the financial manager? How are they different from other manager
A: Financial manager is a person who is responsible for carrying out various financial functions of an...
Q: A solar lighting system is to be purchased and installed for 310,000. This system will save approxim...
A: The present worth of a project is the net value added by undertaking a certain project. This is comp...
Q: An invoice dated November 25 for $2600 had the terms 3/15, 1.5/30, n/45 E.O.M. What is the last day ...
A: The term 3/15 means that a 3% discount is applicable if the invoice is paid within 15 days. The ter...
Q: Use the figure for the question(s) below. Consider the following graph of the security market line: ...
A: Portfolio B falls below the SML, hence statement (A) is incorrect.
Q: Use the Black-Scholes formula to value the following options: a. A call option written on a stock se...
A: Black Scholes model is a model which uses the impact of time and other risk factors to calculate the...
Q: HYZEL Manufacturing Company presents the following: Statement of Comprehensive Income December 31, 2...
A: Hi, since you have posted a question with multiple sub-parts, we will answer the first three, as per...
Q: Selected information from the comparative financial statements of AppleVerse Company for the year en...
A: Receivables turnover ratio measures the number of times in a year the company collects its overdues....
Q: Find the compound interest if $2000 is invested for 12 years at 8% compounded quarterly.
A: Future value = Present value(1 + Rate)^Time where, Present value = $2000 Rate = 8% / 4 = 2% Time = 1...
Q: b) Herman bought a terrace house at RM650,000. He paid a 10% down payment and the balance was financ...
A: Calculate the present value of the loan taken by multiplying the purchase value which is RM650,000 w...
Q: Why is trading volume an important consideration when undertaking technical analysis?
A: Trading volume refers to the number of shares that was traded for a security for a given period of t...
Q: discussion on six assets included in a decedent’s gross estate. List and discuss three valuation dis...
A: Decedent’s gross estate is the gross value of all the assets owned by an Individual at the time of h...
Q: What is the role of financial institutions?
A: A financial institution (FI) is a firm that deals with financial and monetary activities such deposi...
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