Historical average returns for Large Company Common Stocks, Long Term Government Bonds, and US Treasury Bills for the period 10-year period of 1999 through 2008 are shown in the following table. Use these data to solve the next several problems.
|
Year |
Large Common Stock |
Long Term Government Bonds |
US Treasury Bills |
|
1999 |
0.2104 |
-0.0751 |
0.0480 |
|
2000 |
-0.0910 |
0.1722 |
0.0598 |
|
2001 |
-0.1189 |
0.0551 |
0.0333 |
|
2002 |
-0.2210 |
0.1515 |
0.0161 |
|
2003 |
0.2889 |
0.0201 |
0.0094 |
|
2004 |
0.1088 |
0.0812 |
0.0114 |
|
2005 |
0.0491 |
0.0689 |
0.0279 |
|
2006 |
0.1579 |
0.0028 |
0.0497 |
|
2007 |
0.0549 |
0.1085 |
0.0452 |
|
2008 |
-0.3700 |
0.1424 |
0.0124 |
1. Calculate the average return for Large Company Common Stocks for the 10-year period.
2. Calculate the average return for Long Term Corporate Bonds for the 10-year period.
3. Calculate the average return for US T-bills for the 10-year period.
4. Calculate the holding period return for Large Company Common Stocks for the 10-year period.
5. Calculate the holding period return for Long Term Corporate Bonds for the 10-year period.
6. Calculate the holding period return for US T-bills for the 10-year period.
In: Finance
I work for a company that uses accrual-based accounting, not
that I'm directly dealing with the accrual accounts. I have an
understanding of my role, accounts receivable, and how it plays
into accruals. However, it does appear people outside of finance do
sometimes struggle with the concept and with helping to keep
finance aware of actions that need reporting, such things like
offering a customer a special promotion for future sales not yet
recorded.
When reading about the comparisons between US and International
accounting practices, I again reflect on my personal experiences at
work. I have heard of people within our organization refer to GAAP
but not International Financial Reporting Standards (IFRS). We have
three international offices, three different entities within our
organization. I will be asking around at work to determine if the
company prepares two separate financial statements due to having
both have US and international business.
Our finance department is just finishing our yearly audit. I've
learned the audit is heavily reviewing our US-based practices but
also reviewing of our international. My question is how
does the audit process differ between US and International,
especially when the company being audited consist of
both?
In: Accounting
Pyre Company leased equipment to the Poland Company on January 1, 2020, for a ten-year period. Equal annual payments under the lease are $240,000 and are due on January 1 of each year beginning on the date the lease was signed. The rate of interest used by Pyre to compute the lease payments is 9%. The lease receivable before the first payment is $1,678,860, and the cost of the equipment on Pyre’s accounting records was $1,488,000.
Assuming that the lease is appropriately recorded as a sale for accounting purposes, write the entries required on the date the lease is signed and on December 31, 2020.
|
Date |
Account Titles |
Debit |
Credit |
In: Accounting
The presidential election is coming. Five survey companies (A, B, C, D, and E) are doing survey to forecast whether or not the Republican candidate will win the election. Each company randomly selects a sample size between 1000 and 1500 people. All of these five companies interview people over the phone during Tuesday and Wednesday. The interviewee will be asked if he or she is 18 years old or above and U.S. citizen who are registered to vote. If yes, the interviewee will be further asked: will you vote for the Republican candidate? On Thursday morning, these five companies announce their survey sample and results at the same time on the newspapers. The results show that a% (from A), b% (from B), c% (from C), d% (from D), and e% (from E) will support the Republican candidate. The margin of error is plus/minus 3% for all results. Suppose that c > a > d > e > b. When you see these results from the newspapers, can you exactly identify which result(s) is (are) not reliable and not accurate? That is, can you identify which estimation interval(s) does (do) not include the true population proportion? If you can, explain why you can; if no, explain why you cannot and what information you need to identify. Discuss and explain your reasons. You must provide your statistical analysis and reasons.
In: Statistics and Probability
The presidential election is coming. Five survey companies (A, B, C, D, and E) are doing survey to forecast whether or not the Republican candidate will win the election. Each company randomly selects a sample size between 1000 and 1500 people. All of these five companies interview people over the phone during Tuesday and Wednesday. The interviewee will be asked if he or she is 18 years old or above and U.S. citizen who are registered to vote. If yes, the interviewee will be further asked: will you vote for the Republican candidate? On Thursday morning, these five companies announce their survey sample and results at the same time on the newspapers. The results show that a% (from A), b% (from B), c% (from C), d% (from D), and e% (from E) will support the Republican candidate. The margin of error is plus/minus 3% for all results. Suppose that c > a > d > e > b. When you see these results from the newspapers, can you exactly identify which result(s) is (are) not reliable and not accurate? That is, can you identify which estimation interval(s) does (do) not include the true population proportion? If you can, explain why you can; if no, explain why you cannot and what information you need to identify. Discuss and explain your reasons. You must provide your statistical analysis and reasons.
In: Statistics and Probability
you are the marketing manager for a start-up company the manufacturers farm tractors. you are planning to wnter the markets in the US, Japan, and India. What promotion strategy would you use for each market and what will your supply chain look like? The product will be manufactured in Mexico woth some components made in the US and China. how would you get the products to the customers?
In: Economics
Solare Company acquired mineral rights for $60,000,000. The diamond deposit is estimated at 6,000,000 tons. During the current year, 2,300,000 were mined and sold.
|
a.
|
Determine the depletion rate.
|
|
b.
|
Determine the amount of depletion expense for the current year.
|
|
c.
|
Journalize the adjusting entry to recognize the depletion expens |
In: Accounting
IBM had acquired a German company in 1922 and, like other American companies, found itself operating after 1933 in a country whose government violently suppressed political dissent and engaged in intimidation and discrimination against Jews. Discuss the options and responsibilities of multinationals with investments in politically reprehensible regimes.
In: Economics
4. Suppose from our class (with 25 students), we find the
average GPA is 2.7, with standard deviation
0.4. Regard our class as a random sample from the whole university.
Based on the information from our
class, can we believe at significance level 0.05, that the average
GPA for all students can be at least 2.8?
In: Math
Suppose the United States could import footwear from Thailand at the price of $20 per pair or from Mexico at $24 per pair. The domestic price of footwear in the United States is $35. Suppose prior to NAFTA, the U.S. imposed a 50% tariff on all footwear entering the country. Suppose the US demand for footwear is given by Q = 100 – 2P. Assume US producers face a constant MC = $35. What is the welfare effect of joining the NAFTA for the US if doing so requires eliminating the tariff on Mexican made footwear?
In: Economics