The Jordanian government is discussing a change in the planning laws to allow the building of one million new houses by 2021. Discuss what this is likely to mean for
(a) the price of houses for first-time buyers
(b) the demand for country houses in areas adjacent to new housing developments.

Lina buys a common stock that pays annual dividends. The first dividend of $25 is at the end of the third year and each subsequent annual dividend is $4 greater than the preceding one.

Calculate the price of this stock given an effective annual interest rate of 4.5 %

A zero coupon bond with a face value of $1,000 is issued with an initial price of $497.96. The bond matures in 16 years. What is the implicit interest earned, in dollars, for the first year of the bond's life?

Multiple Choice:

$12.98

$22.18

$11.60 X

$11.09

$6.49

You are considering the acquisition of a new piece of equipment with a useful life of five years. This new technology will make your clinical operation more efficient and allow for a reduction of 10 FTEs. The equipment purchase price is $4,500,000 plus 10% installation fee. The purchase price includes service for the first year, an item that has an annual cost of $10,000. There is a potential for additional volume of 150,000 units in the first year, growing by 30,000 each year thereafter. The price charged per unit is $15.00 with a 50% collection rate. The staff being eliminated are paid $12.50 per hour. The fringe benefits rate is 20%. The hurdle rate is 7.5%.

Question:   After reviewing Dr. Ward's Video and the calculations below, please answer the following questions: 1. What is meant by benefit/cost ratio, average payback period and ROI and why are the all important to understand when purchasing new equipment? Based on this information, would you pursue this opportunity? Explain your decision in 250-500 words in the text box below.

You are considering the acquisition of a new piece of equipment with a useful life of five years. This new technology will make your clinical operation more efficient and allow for a reduction of 10 FTEs. The equipment purchase price is $4,500,000 plus 10% installation fee. The purchase price includes service for the first year, an item that has an annual cost of $10,000. There is a potential for additional volume of 150,000 units in the first year, growing by 30,000 each year thereafter. The price charged per unit is $15.00 with a 50% collection rate. The staff being eliminated are paid $12.50 per hour. The fringe benefits rate is 20%. The hurdle rate is 7.5%. Question: After reviewing Dr. Ward's Video and the calculations below, please answer the following questions: 1. What is meant by benefit/cost ratio, average payback period and ROI and why are the all important to understand when purchasing new equipment? Based on this information, would you pursue this opportunity? Explain your decision in 250-500 words in the text box below.

Given three possible investments in a company, an appropriate return for each would be: Capital creditor  6%7%8% , Preference share  7%8%6% , Common share  7%8%6% .

The reason why capital creditors have the  smallestlargestmiddle return is because  they get paid first and take the highest riskthey get paid first and take the lowest riskthey get paid last and take the highest riskthey get paid last and take the lowest risk . If you wish to have voting rights for a company's board of directors, you need to be a  preference shareholdercommon shareholdercapital creditor .

Part B

Company A has a share price of $0.02, $0 of earnings and 1 million shares outstanding. Company B has a share price of $200, $200 million in earnings and 20 million in shares outstanding. Company C has a share price of $36, $600,000 in earnings and 1 million in shares outstanding.

Given the above information,  Company BCompany CCompany A is the most expensive company and  Company ACompany BCompany C is the most likely to be a value stock.

First-In, First-Out Method; Equivalent Units

Aztec Inc. produces soft drinks. Mixing is the first department, and its output is measured in gallons. Aztec uses the FIFO method. All manufacturing costs are added uniformly. For July, the mixing department provided the following information:

Required:

1. Calculate the equivalent units for July.
equivalent units

2. Calculate the unit cost. Round your answer to the nearest cent.
$per unit

3. Assign costs to units transferred out and EWIP using the FIFO method. Note: Do not round interim computations.

First-In, First-Out Method; Equivalent Units

Aztec Inc. produces soft drinks. Mixing is the first department, and its output is measured in gallons. Aztec uses the FIFO method. All manufacturing costs are added uniformly. For July, the mixing department provided the following information:

Required:

1. Calculate the equivalent units for July.
equivalent units

2. Calculate the unit cost. Round your answer to the nearest cent.
$per unit

3. Assign costs to units transferred out and EWIP using the FIFO method. Note: Do not round interim computations.

First-In, First-Out Method; Equivalent Units

Aztec Inc. produces soft drinks. Mixing is the first department, and its output is measured in gallons. Aztec uses the FIFO method. All manufacturing costs are added uniformly. For July, the mixing department provided the following information:

Required:

1. Calculate the equivalent units for July.
equivalent units

2. Calculate the unit cost. Round your answer to the nearest cent.
$per unit

3. Assign costs to units transferred out and EWIP using the FIFO method. Note: Do not round interim computations.

1. Bob is considering buying a home and selling it in one year. At t=0 it will cost him $100,000 to buy the home. At t=1 he will sell it for $150,000. Buying transaction costs (at t=0) are 5% of the purchase price, and selling transaction costs (at t=1) are 8% of the sale price. Note: each time period is a year. Write out the Net Present Value function for Bob s investment for a general annual discount rate i. Plug all of the numbers you can into the function. Sample Answer: NPV(i)= -100 + (5)/(1+i)^1 + 105/(1+i)^2"