Dollar Return on Foreign Investments -

(A) Over the past year, the dollar has appreciated by about 8 percent against the peso. A year ago you borrowed in the U.S. at an interest rate of 4 percent and you invested the money in a Mexican mutual fund that paid a 12 percent peso return. What net return did you earn on all of these transactions over the year? (PLEASE INCLUDE FORMULAS USED TO SOLVE PROBLEM).

(B) Explain the following statement: If inflation differences are the only reason that interest rates are higher in one country than another, it is highly unlikely that arbitrage profits will exist in these countries' financial markets. (PLEASE INCLUDE FORMULAS USED TO SOLVE PROBLEM).

(C) Over the past year, the dollar has depreciated by about 10 percent against the euro. A year ago you took out a home equity loan in the U.S. at an interest rate of 8 percent and you invested the money in a German mutual fund that paid a 5 percent euro return. What net return did you earn on all of these transactions over the year? (PLEASE INCLUDE FORMULAS USED TO SOLVE PROBLEM).

(D) You can borrow or invest in the U.S. at an annual rate of 6 percent. Suppose you logon to your favorite financial website and see that you could borrow or invest in Japan at a 5 percent annual rate. The current exchange rate between the dollar and the yen is $0.01/yen. You can use the futures market to lock it in at an exchange rate for one year from now at $0.0095/yen. Is there a profit opportunity here? Prove it by borrowing (either $1 million or $100 yen) in one country and investing in the other? (PLEASE INCLUDE FORMULAS USED TO SOLVE PROBLEM).

Patient is 88 year old female admitted to the hospital with a two day history of feeling SOB, lightheaded, dizzy, and chest pain. The patient lives in a single family house, and the bedroom and bathroom are located on the second floor. The patient was brought to the ED by the family. The nurse starts to perform the nursing assessment and finds that the patient is only oriented to person. The patient does not report any pain. The vital signs and the laboratory results are recorded as the following:

Temp. 38.1   pulse 98    resp. 32    Blood pressure 122/80   SpO2 with RA at Pulse Ox 89% , weight at 120 pounds (54.54 Kilograms), height 5.4

Na                   148

Cl                    96

Potassium        3.5

Bicarb             39

BUN               50

Creat             1.78

Glucose         124

Hgb              6.6

Hct              21.5

WBC           24.9

Platelets     145,000

Albumin       3.5

ROS:

Negative

PMH:    CAD, CKD, HTN, COPD

PSH: Bilateral knee replacement

Social hx: lives alone, drinks one glass of wine once a day, denies smoking and drug abuse

Allergies:

NKDA

Medications at home: Lisinopril 40 mg once a day, ASA 81 mg once a day, Lasix 40 mg once a day, Advair one puff every 12 hours

Physical Exam:

Awake, confused to time and place, oriented to self

Mucous membranes dry, tongue pink

HEENT: AT/NC, PERRLA, neck supple, no JVD

CV: RRR, Normal S1 S2, no m/r/c heard

Lungs:   Breath sounds vesicular with crackles in the posterior bases

ABD: distended with faint bowel sounds, tender to touch

Extremities: upper and lower extremities with strength at 3/5 for all four extremities

Has 3+ edema in lower legs bilaterally

Skin: small open redden area on left thigh

Diagnostic Exam:

ECG: Normal

2D echocardiogram: LV function at 20%

Answer the following questions:

Identify the abnormal lab tests.         

Identify two nursing diagnosis for this patient.

Identify two nursing intervention for each nursing diagnosis with rationale.

Identify one short term goal for each nursing diagnosis.

Identify one outcome for each nursing diagnosis.

List the medications for the patient.

List the diagnosis test ordered for the patient and the results.

1. A stock currently trading at $38.60 paid a dividend of $2 per share for the year 2019. Analysts expect dividend growth rate of 20% for the next three years and then growth is expected to revert to 7% thereafter for an indefinite amount of time. The stock and the market (i.e. S&P 500) index have the same beta. A 10-year Treasury bond has a rate of 5%. The market return is 12% and the cost of capital (WACC) is 9.5%.

1. Using CAPM, estimate the required rate of return.
2. What discount rate will you use to value this stock, weighted average cost of capital or required rate of return? Why?
3. Estimate the stock’s intrinsic value.
4. As an analyst, would you recommend this stock to a client who is looking for stocks to buy? Why?

Webber, Inc., began operations at the start of the current year, having a production target of 60,000 units. Actual production totaled 60,000 units, and the company sold 95% of its manufacturing output at $50 per unit. The following costs were incurred:

Manufacturing:

Direct materials used                                      $240,000

Direct labor                                                     480,000

Variable manufacturing overhead                  360,000

Fixed manufacturing overhead                       600,000

Selling and administrative:

Variable                                                          $180,000

Fixed                                                                 630,000

REQUIRED: (Show your detailed computations!)

a. Assuming the use of variable-costing, compute the cost of ending finished goods inventory.      

b. Assuming the use of absorption-costing, how much fixed selling and administrative cost would Webber include in the ending finished-goods inventory?

c. Compute the company’s absorption-costing operating income.

d. Compute the company’s variable-costing operating income.

e. Reconcile the difference in operating income.

DataSpan, Inc., automated its plant at the start of the current year and installed a flexible manufacturing system. The company is also evaluating its suppliers and moving toward Lean Production. Many adjustment problems have been encountered, including problems relating to performance measurement. After much study, the company has decided to use the performance measures below, and it has gathered data relating to these measures for the first four months of operations. Month 1 2 3 4 Throughput time (days) ? ? ? ? Delivery cycle time (days) ? ? ? ? Manufacturing cycle efficiency (MCE) ? ? ? ? Percentage of on-time deliveries 78 % 74 % 71 % 68 % Total sales (units) 3780 3618 3433 3304 Management has asked for your help in computing throughput time, delivery cycle time, and MCE. The following average times have been logged over the last four months: Average per Month (in days) 1 2 3 4 Move time per unit 0.7 0.5 0.6 0.6 Process time per unit 2.3 2.2 2.1 2.0 Wait time per order before start of production 25.0 27.4 30.0 32.4 Queue time per unit 4.9 5.6 6.4 7.3 Inspection time per unit 0.4 0.5 0.5 0.4

Required: 1-a. Compute the throughput time for each month. 1-b. Compute the delivery cycle time for each month. 1-c. Compute the manufacturing cycle efficiency (MCE) for each month. 2. Evaluate the company’s performance over the last four months. 3-a. Refer to the move time, process time, and so forth, given for month 4. Assume that in month 5 the move time, process time, and so forth, are the same as in month 4, except that through the use of Lean Production the company is able to completely eliminate the queue time during production. Compute the new throughput time and MCE. 3-b. Refer to the move time, process time, and so forth, given for month 4. Assume in month 6 that the move time, process time, and so forth, are again the same as in month 4, except that the company is able to completely eliminate both the queue time during production and the inspection time. Compute the new throughput time and MCE

Ward Corp. is expected to have an EBIT of $2,100,000 next year. Depreciation, the increase in net working capital, and capital spending are expected to be $169,000, $93,000, and $119,000, respectively. All are expected to grow at 18 percent per year for four years. The company currently has $15,000,000 in debt and 840,000 shares outstanding. At Year 5, you believe that the company's sales will be $16,300,000 and the appropriate price–sales ratio is 2.4. The company’s WACC is 8.4 percent and the tax rate is 40 percent.

What is the price per share of the company's stock? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

1. For 19 years, Betty was hostess of the Tournament of Roses Parade (which is every year before the Rose Bowl). Of all the parades on television that exist, which is the favorite? A random sample of people was taken, with the results summarized below:

At the .05 level of significance, is there an association between gender and favorite parade on television?

A company must make payments of $10 annually in the form of a 10- year annuity- immediate. It plans to buy two zero coupon bonds to fund these payments. The first bond matures in 2 years and the second bond matures in 9 years, and both are purchased to yield 10% effective. What face amount of each bond should the company buy in order to be immunized from small changes in the interest rate (redington immunization)?

On August 1 of year 0, Dirksen purchased a machine for $29,000 to use in its business. On December 4 of year 0, Dirksen sold the machine for $27,750. (Use MACRS Table.) (Loss amounts should be indicated by a minus sign. Do not round percentages used for calculations. Leave no answer blank. Enter zero if applicable.)

a. What is the amount and character of the gain or loss Dirksen will recognize on the sale?

b. What is the amount and character of the gain or loss Dirksen will recognize on the sale if the machine was sold on January 15 of year 1 instead?

27. G is a cash basis consultant. His balance sheet at the end of the year shows receivables of $100 and accounts payable for utilities of $30.

a) What is G’s basis in the receivables?

b) If G transfers the receivables to a new corporation in exchange for 100% of the stock and the corporation assumes the liabilities is G taxed on the transfer?