Q. Mr. Miles is a first time investor and wants to build a portfolio using only U.S. T-bills and an index fund that closely tracks the S&P 500 Index. The T-bills have a return of 5%. The S&P 500 has a standard deviation of 20% and an expected return of 15%.
1. Draw the CML and mark the points where the investment in the market is 0%, 25%, 75%, and 100%.
2. Mr. Miles is also interested in determining the exact risk and return at each point
In: Accounting
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Simmons, Inc., is considering a new 4-year project that requires an initial fixed asset investment of $3.5 million. The fixed asset is eligible for 100 percent bonus depreciation in the first year. At the end of the project, the asset can be sold for $445,000. The project is expected to generate $3.1 million in annual sales, with annual expenses of $960,000. The project will require an initial investment of $495,000 in NWC that will be returned at the end of the project. The corporate tax rate is 23 and the project has a required return of 12 percent. What is the NPV of the project? |
In: Finance
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Simmons, Inc., is considering a new 4-year project that requires an initial fixed asset investment of $2.7 million. The fixed asset is eligible for 100 percent bonus depreciation in the first year. At the end of the project, the asset can be sold for $385,000. The project is expected to generate $2.5 million in annual sales, with annual expenses of $900,000. The project will require an initial investment of $435,000 in NWC that will be returned at the end of the project. The corporate tax rate is 21 and the project has a required return of 12 percent. |
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What is the NPV of the project? |
In: Finance
A company had stock outstanding as follows during each of its first three years of operations: 3,000 shares of 7%, $100 par, cumulative preferred stock and 34,000 shares of $10 par common stock. The amounts distributed as dividends are presented below. Determine the total and per-share dividends for each class of stock for each year by completing the schedule. Round dividends per share to the nearest cent. Enter "0" if no dividends are paid.
year 1 15750
year 2 21000
year 3 27860
In: Accounting
Simmons, Inc., is considering a new 4-year project that requires an initial fixed asset investment of $2.65 million. The fixed asset is eligible for 100 percent bonus depreciation in the first year. At the end of the project, the asset can be sold for $395,000. The project is expected to generate $2.45 million in annual sales, with annual expenses of $950,000. The project will require an initial investment of $420,000 in NWC that will be returned at the end of the project. The corporate tax rate is 22 and the project has a required return of 13 percent. What is the NPV of the project?
In: Finance
On June 21, 2018, Duckwall Co. purchased and placed in service $3,185,000 of 5-year recovery property (not an SUV). It is used 100% for business and Is the only property placed in service during the year.
What is the maximum cost recovery deduction available if the Duckwall Co. has taxable income of $1.5 million before the cost recovery deduction?
The Duckwall Co. does not elect out of Section 179 expensing or the additional first-year deprecation deduction.
A. $1,722,000
B. $3,185,000
C. $2,037,000
D. $1,500,000
In: Accounting
On January 1, an insurance company has 100,000 which is due to Linden as a life insurance death benefit. He chooses to receive the benefit annually over a period of 15 years, with the first payment immediately. The benefit he receives is based on an effective interest rate of 4% per annum. Every July 1, the insurance company pays 100 in expenses and taxes to maintain the policy. At the end of nine years, the company has X remaining. Calculate X.
The answer is $53,900 im just not quite sure how to get it.
In: Math
You are part of the IT Department at the newly established 200-bed Hospital Puteri Bestari in Ipoh, Perak. The hospital decided to have an in-house inventory system for all of its assets. Write a short program that accepts the inventory tagging number, and store it in a global array named ASSET_NUMBER. The array must be able to store up to 100 assets, and the tagging number is a 7-digit integer. The program should not overwrite existing data in the array, and must first find an empty element before storing the integer at that location.
USE ONLY C++!!
In: Computer Science
Think of a technology that, in your opinion, clearly affects the
workplace. Try to think of a technology that is not so common. (You
might also think about the technology you wish to look into for the
research paper.)
Create a dialogue / conversation between two people of
approximately 100 lines - about two pages. In it, one person must
“act” as if the technology has little or no impact on the
workplace. The other (you, perhaps) must convince the first of its
impact. That last person needs to provide examples of the
unanticipated and anticipated consequences of the technology.
Provide an
In: Computer Science
Edward Jones (with a currently successful presence in the USA and Canada) is contemplating entering Asia (Singapore) and South America (Uruguay) net fall, for the first time.
Given that Singapore (index of 8) and Uruguay (index 100) rank respectively very low vs very high compared to moderately ranked US (index 46) and Canada (index 48) in terms of uncertainty avoidance, what marketing implications of this classification could you point out to Edward Jones as the company prepares to make its move? Discuss 1 from the 4Ps.
In: Economics