An Investor has deposited $25,400 for a year. It has become $28,200. Calculate the rate of return in a year.
In: Finance
Taylor Inc. is considering a new project whose data for the first year of operations are shown below. In conducting the capital investment analysis of this project, what would be the project’s Year 1 cash flow?
|
Sales revenues, each year |
$77,450 |
|
Depreciation |
$9,562 |
|
Other operating costs |
$24,499 |
|
Interest expense |
$8,710 |
|
Tax rate |
28% |
In: Finance
You plan to invest $1,000 on the last day of every year for the next five years, if the interest rate on the investment is 6 percent, the present value of your investment is....
In: Finance
How much must be saved at the end of each year for the next 10 years in order to accumulate $50,000, if you can earn 9% annually? Assume you contribute the same amount to your savings every year.
$3,291.00 A
$3,587.87 B
$4,500.33 C
$4,587.79 D
In: Finance
The current cost of graduate school tuition is $19,203 per year. The cost of tuition is rising at 6% per year. You plan to attend graduate school for 3 years starting 4 years from now. How much do you have to invest today if your savings account earns 3.95% APR compounded annually to just fund your tuition?
In: Finance
1. Beef Co. in one year is expected to trade at $23 per share. And is expected to pay a dividend of 15 cents at the end of the year. If investments with equivalent risk have an expected return of 9%, what is the most you should pay for a Beef Co. stock today?
2. Bent CO. at the end of the year will have EPS of $7 and if the firm has a cost of capital of 12%: B) IF the firm decides to payout 25% of earnings and the firms return on investment is 15% what stock price will the company now have?
In: Finance
Case 3 – Equity in Care of Athletes
At a two year community college funding for sport is not a priority. However, the school has both female and male sport teams. In fact, the school has five male sports – football, basketball, baseball, soccer, and golf. The school has two sports for women – softball and basketball. They are in the process of adding women’s soccer. However, to do so they are planning to take away some of the scholarship money that has been allotted to women’s basketball and softball. Therefore, they are concerned about increasing the number of female athletes, possibly in order to comply with Title IX, and yet they are not thinking of spending any more money than has already been allotted for female sports.
Furthermore, the sport teams for women are not treated the same as the sport teams for men. One obvious point of inequity is with facilities. However, an even bigger problem is with the lack of an athletic trainer specifically assigned to the women’s teams. There is a trainer and sometimes two trainers at all of the men’s athletic competitions as well as at their practices. This is not so for the women. They often have to call one of the trainers if someone gets hurt. This is especially problematic during the baseball and softball seasons, which run concurrently. The trainers are in presence at the baseball games and on-call for the softball games. This causes obvious problems. Some injuries need immediate treatment, which they might not get in this situation. However, there are also some not so obvious problems. The pitchers for the softball team need to warm up appropriately to avoid injury. They also need to apply ice after pitching a game. Certainly each pitcher should know what to do to avoid problems. However, they might not do the appropriate pre-game stretching and post-game icing without supervision, whereas they would if a trainer was present before and after the game requiring it. This had led to shoulder problems for some of the softball pitchers.
1. How should schools, with limited funds, deal with such a situation as the lack of trainers?
2. If there are injuries is the fault to be placed with the schools, the coaches, or the players? Why?
3. Is it right to increase the number of female sports without increasing the funding?
4. Which is more important, participation opportunities or equity in funding?
5. If a school does not have the funds, should they increase the number of teams?
6. Analyze this situation from the perspectives of the Utilitarian, the Kantian, and the Aristotelian.
In: Finance
A project is expected to cost $85096 up front, and then return $23768 in year 1, $45414 in year 2, and $32710 in year 3. If the company demands a 8% return from their projects, what is the net present value of this project? Answers should be to the nearest cent. If your answer is negative please write it as "$-100.03" with the dollar sign before the negative so blackboard can read it correctly.
In: Finance
Borrow $100,000 with a 20 year fixed mortgage at 6%. Calculate the monthly payment if the loan is
A. 726.53
B. 6000
C. 716.43
D. 216.43
In: Finance
In: Finance