1. What is efficient market hypothesis? Explain the difference between technical and fundamental analysis and indicate which one is rendered useless if markets are weakly efficient?

2. What is the major source of financing investments in corporate America? Has there been more debt or equity issuance overall in recent years?

You have been asked whether your organization should expand from selling its products only in North America to selling its products in Europe as well. What information would you want to collect? Who would you want to discuss the idea with before making a decision?

You have been asked whether your organization should expand from selling its products only in North America to selling its products in Europe as well. What information would you want to collect? Who would you want to discuss the idea with before making a decisio

Johnson Inc. had the following transactions for January:

1. Purchased marketable securities in Smith Company for $100,000 cash.

2. Purchased 1,000 shares of Parker Co. for $55,000 as a long term investment.  Parker has 10,000 outstanding shares issued and outstanding).

3. Purchased 10,000 shares of Drew Co. for $176,000 as a long term investment. Drew had 40,000 shares issued and outstanding.

Johnson Inc. received the following dividends:

4. $1.50 per share from Parker Co.

5. $3.00 per share from Drew Co.

Additional transactions include:

6. Parker Co. reported a net income of $127,000, and Drew Co. reported a net income of $600,000.

7. After dividends were received, we sold the 1,000 shares of Parker Co. for $60,000 cash.

Instructions: Prepare the journal entries to record the above transactions. Remember to use the space bar to indent the credits. Number the journal entries as indicated abov

11. More on the corporate valuation model

Allied Biscuit Co. is expected to generate a free cash flow (FCF) of $6,070.00 million this year (FCF1FCF1 = $6,070.00 million), and the FCF is expected to grow at a rate of 19.00% over the following two years (FCF2FCF2 and FCF3FCF3). After the third year, however, the FCF is expected to grow at a constant rate of 2.10% per year, which will last forever (FCF4FCF4). If Allied Biscuit Co.’s weighted average cost of capital (WACC) is 6.30%, what is the current total firm value of Allied Biscuit Co.?

$231,867.54 million

$193,222.95 million

$228,217.04 million

$19,258.94 million

Allied Biscuit Co.’s debt has a market value of $144,917 million, and Allied Biscuit Co. has no preferred stock. If Allied Biscuit Co. has 750 million shares of common stock outstanding, what is Allied Biscuit Co.’s estimated intrinsic value per share of common stock?

$64.41

$193.22

$70.85

$63.41

Selected data on inventory, purchases, and sales for Celebrity Tan Co. and Ranchworks Co. are as follows:

America Cola is considering the purchase of a special-purpose bottling machine for $72,000. It is expected to have a useful life of 4 years with no terminal disposal value. The plant manager estimates the following savings in cash operating costs: Year Amount 1 $25,000 2 24,000 3 22,000 4 23,000 Total $94,000 America Cola uses a required rate of return of 16% in its capital budgeting decisions. Ignore income taxes in your analysis. Assume all cash flows occur at year-end except for initial investment amounts.

Required: Calculate the following for the special-purpose bottling machine: 1. Net present value 2. Payback period 3. Discounted payback period 4. Accrual accounting rate of return based on net initial investment (Assume straight-line depreciation. Use the average annual savings in cash operating costs when computing the numerator of the accrual accounting rate of return.)

This is a post from one of my classmate from a group discussion. Ineed a response for this post. Thanks!

During WW1 farms were turned into battle fields or had been left to deteriorate into as agriculture workers were forced into warfare. Making circulation of food difficult. Us became involved by managing the warfare supply, of food through distribution and transportation. According to Schumm “Slogans such as Food will win the war compelled people to avoid wasting precious groceries and encouraged them to eat a multitude of fresh fruits and vegetables, which were to difficult to transport overseas” (2013). All of this was done to maintain the strength of soldiers in war while citizens suffered and began to have less and less food for themselves and their families.

                                                            References

Schumm, L. (2014, May 23). History Food Rationing in Wartime America. Retrieved from A&E Television Networks, LLC.: https://www.history.com/news/hungry-history/food-rationing-in-wartime-america

Linked Activity I: Develop Global Awareness, Thinking, and Code of Ethics

Directions: Develop an Organizational Code of Ethics for a company you either work for a fictional company or a known company you are interested in:

1. Given the work-related attitudes and behaviors in the company you have selected :

1. • Identify at least eight (8) principles, values, attitudes, behaviors, policies, etc. your organization should establish to promote ethical behavior and decision-making among its employees.
   • Explain how the Code of Ethics you propose will influence and affect your organization.

2. View the video: Ethics in America II - Risk, Reward, Responsibility: Ethics in Business at https://www.learner.org/series/ethics-in-america-ii/risk-reward-responsibility-ethics-in-business/.  In the video, eminent leaders from government, business, science and academia debate the following hypothetical cases that are drawn from the front pages of today's papers.

Tom Cruise Lines Inc. issued bonds five years ago at $1,000 per bond. These bonds had a 30-year life when issued and the annual interest payment was then 12 percent. This return was in line with the required returns by bondholders at that point as described below: Real rate of return 4 % Inflation premium 5 Risk premium 3 Total return 12 % Assume that five years later the inflation premium is only 2 percent and is appropriately reflected in the required return (or yield to maturity) of the bonds. The bonds have 25 years remaining until maturity. Compute the new price of the bond. Use Appendix B and Appendix D for an approximate answer but calculate your final answer using the formula and financial calculator methods. (Do not round intermediate calculations. Round your final answer to 2 decimal places. Assume interest payments are annual.)