You are offered an investment with returns of $ 2,847 in year 1, $ 4,914 in year 2, and $ 3,048 in year 3. The investment will cost you $ 7,014 today. If the appropriate Cost of Capital (quoted interest rate) is 9.1 %, what is the Profitability Index of the investment? Enter your answer to the nearest .01. Do not use the $ sign or commas in your answer. If the NPV is negative, use the - sign.

The Winston Company estimates that the factory overhead for the following year will be $716,400. The company has decided that the basis for applying factory overhead should be machine hours, which is estimated to be 39,800 hours. The total machine hours for the year was 54,400 hours. The actual factory overhead for the year was $993,000.

Required:

1. You will be paying $34,000 a year in tuition expenses at the end of the next two years. Bonds currently yield 10%. (20 points)

1. What is the present value and duration of your obligation?
2. What maturity zero-coupon bond would immunize your obligation?
3. Suppose you buy a zero-coupon bond with value and duration equal to your obligation. Now suppose that rates immediately increase to 11%. What happens to your net position, that is, to the difference between the value of the bond and that of your tuition obligation? What if rates fall to 9%?

You will be paying $10,200 a year in tuition expenses at the end of the next two years. Bonds currently yield 9%. a. What is the present value and duration of your obligation? (Do not round intermediate calculations. Round "Present value" to 2 decimal places and "Duration" to 4 decimal places.) Present value $ Duration years b. What is the duration of a zero-coupon bond that would immunize your obligation and its future redemption value? (Do not round intermediate calculations. Round "Duration" to 4 decimal places and "Future redemption value" to 2 decimal places.) Duration years Future redemption value $ You buy a zero-coupon bond with value and duration equal to your obligation. c-1. Now suppose that rates immediately increase to 10%. What happens to your net position, that is, to the difference between the value of the bond and that of your tuition obligation? (Enter your answer as a positive value. Do not round intermediate calculations. Round your answer to 2 decimal places.) Net position changes by $ c-2. What if rates fall to 8%? (Enter your answer as a positive value. Do not round intermediate calculations. Round your answer to 2 decimal places.) Net position changes by $

A company has a beginning inventory of $ 20,000 and purchases during the year of $ 160,000. The beginning inventory consisted of 2,000units and 8,000 units were purchased during the year. 3,880 units remain in ending inventory. The cost of the ending inventory using the​ average-cost method will​ be: (Round any intermediary calculations to two decimal places and your final answer to the nearest​ dollar.)

1) Answer T or F for the following

a) Medical expenses for the year are to be reduced by any insurance reimbursement that is expected to be received in the future in order to arrive at the current deduction.

b) The full-cost of home-related capital expenditures paid to enable a physically disabled individual to live independently qualifies as a medical expense, but is still subject to the 10% of AGI floor limitation.

c) Appraisal costs associated with determining the increase in value of a residence due to capital expenditures undertaken for medical reasons are deductible as a medical expense.

d) If the seller of a residence during the year pays more than her prorate share of the real estate taxes, the buyer must increase his basis in the home by the "excess".

e) When arriving at the taxpayer's net investment income in calculating the deduction for investment interest expense for the year, miscellaneous "investment expenses" are disallowed before any non-investment expenses when applying the 2% of AGI floor.

f) points paid to refinance an existing home mortgage are fully deductible in the year of payment.

g) A taxpayer who gives cash directly to a needy individual will be able to claim a charitable contribution, subject to AGI limits.

h) No deduction is allowed for the value of one's services contributed to a charity.

A stock sells today for $130. The price of the stock in a year is expected to be $140. The annual volatility of the stock is 30%.
a. Calculate the probability that in six years the stock will sell for more than $150.
b. Calculate the probability that in six years the stock will sell for less than $115.
c. Calculate the probability that in six years the stock will sell for a price between $120 and $160.
d. You are 85% confident the stock price in six years will be between what two values?
e. There is an 80% probability that in 6 years the stock price will exceed ___________

Reasonable and necessary business expenditures that are not completely deductible in the year incurred will be (1) depreciated, (2) amortized, or (3) capitalized. Briefly define and provide an example of an expenditure to each.

Find a story in the USA news in the past year that was partially or fully retracted or corrected after it was discovered that the field research was not done properly. Explain what was done incorrectly that led to the error, and what steps should have been taken in order to avoid the issue. Be sure to include the news story in your submission.

#21) Troy will receive $7,500 at the end of year 3. At the end of the following two years, he will receive $9,000 and $12,500, respectively. What is the future value of these cash flows at the end of year 5 if the interest rate is 8 percent? $33,445

$35,622

$30,968

$35,255

$28,738

#39)  Cast Out Co. invested $37,900 in a project. At the end of three years, the company sold the project for $62,500. What annual rate of return did the firm earn on this project?

16.91%

18.14%

17.47%

18.67%

19.20%

#38) You are considering a job that offers a starting bonus of $2,500, paid immediately, and an annual salary of $44,000, $47,000, and $50,000 for the next 3 years, respectively. The annual salary is paid at the end of each year. What is this offer worth today at a discount rate of 5.6 percent?

$139,283.56

$158,283.49

$128,773.82

$154,383.50

$142,983.33