Calculate the average rate of return for stock A during the period 2009 through 2013. Round your answer to two decimal places.
%______

Calculate the average rate of return for stock B during the period 2009 through 2013. Round your answer to two decimal places.
%_____

Assume that someone held a portfolio consisting of 50% of Stock A and 50% of Stock B. What would the realized rate of return on the portfolio have been in each year? Round your answers to two decimal places.

What would the average return on the portfolio have been during this period? Round your answer to two decimal places.
%_______

Calculate the standard deviation of returns for each stock and for the portfolio. Round your answers to two decimal places.

Calculate the coefficient of variation for each stock and for the portfolio. Round your answers to two decimal places.

a) Suppose the following zero-coupon bonds are trading at the prices shown below per $150 face value. Determine the corresponding yield to maturity for each bond.

b) Assume that it is January 15th, 2010 and the U.S. Treasury has just issued securities with January 15th, 2018 maturity, $1000 par value and a 4% coupon rate with semiannual coupons. Since the original maturity is only 8 years, these would be called “notes” as opposed to “bonds”. The first coupon payment will be paid on July 15th, 2010. What cash flows will you receive if you hold this note until maturity?

c) Consider three 25-year bonds with annual coupon payments. One bond has a 4% coupon rate, one has a 2% coupon rate, and one has a 1% coupon rate. If the yield to maturity of each bond is 3%, what is the price of each bond per $150 face value? Which bond trades at a premium, which trades at a discount, and which trades at par?

d) Why Bond Prices Change?

A paper manufacturer uses 3 different automated production lines to produce its’ product. Each line was installed at different times as the business grew. The business started with the first machine in 2005, the 2nd line was added in 2010, and the 3rd line was installed in 2015. Each line operates 24 hours/day, 7 days/week and are only down when switching between types of paper, clearing jams, and performing routine maintenance. Because of their age differences each line has a different design capacity and has different amounts of downtime (i.e. newer lines experience fewer jams and take less time to set up and perform maintenance). The plant manager collected the statistics for each line over the last four weeks of operation and they are provided in the table below. Calculate the Effective Capacity, Efficiency, and Utilization for each line. ROUND EFFICIENCY & UTILIZATION ANSWERS TO 4 DECIMAL PLACES

Prod Line Design Capacity in tons per Hour Average hours of Run Time per Day Actual Output over last 4 weeks (in Tons)

2005 25 18.5 11,250

2010 37.5 19.5 17,910

2015 45 21 23,475

Dahlia is in the 32 percent tax rate bracket and has purchased the following shares of Microsoft common stock over the years: Date Purchased Shares Basis 7/10/2008 500 $ 20,000 4/20/2009 400 18,320 1/29/2010 600 20,160 11/02/2012 350 13,720 If Dahlia sells 1,100 shares of Microsoft for $66,000 on December 20, 2018, what is her capital gain or loss in each of the following assumptions? (Do not round intermediate calculations.)

a. She uses the FIFO method.

Dahlia is in the 32 percent tax rate bracket and has purchased the following shares of Microsoft common stock over the years:

If Dahlia sells 1,100 shares of Microsoft for $66,000 on December 20, 2018, what is her capital gain or loss in each of the following assumptions? (Do not round intermediate calculations.)

b. She uses the specific identification method and she wants to minimize her current year capital gain.

Mr. Bestall, CFO of the Best Finance Inc., was satisfied with its income statement report. He decided to have a meeting with the analysts following the Best Finance Inc. before filing its financial statements with the SEC. The following conversation was in the meeting. CFO: The year ended on September 30 should be our most profitable in history and as a consequence, the board of directors has just awarded the officers generous bonuses. Analysts: I thought profits were down this year in the industry, mainly because of the pandemic COVID 19. Your latest interim report showed losses too. CFO: Well, they were down, but ten days before closing the accounting period we closed a deal that will give us a substantial increase for the year. Analysts: Oh, what was it? CFO: Well, you remember a few years ago our former president bought stock in Jubilee Enterprises because he had an inorganic growth plan. For six years, we have not been able to sell this stock, which cost us $3,000,000 and has not paid any dividends at all. We sold this stock to Rich & Rich Inc. for $4,000,000. So we had a gain of $700,000 ($1,000,000 before tax) which increased our net income for the year to $4,000,000. Last year's net income was $3,700,000. As far as I know, we will be the only company in the industry to register an increase in net income this year. That should help the market value of the stock! Analysts: When do you expect to receive the $4,000,000 in cash? CFO: They give us a $4,000,000 zero-interest bearing note with payments of $400,000 per year for the next ten years. The first payment is due on September 30 next year. Rich & Rich Inc. is an excellent company. They are a little tight for cash because of their rapid growth. Analysts: Why is the note zero-interest bearing? CFO: Because that's what everybody agreed to. Since we don't have any interest-bearing debt, the funds invested in the note do not cost us anything and besides, we were not getting any dividends on the Jubilee Enterprises stock.

Do you agree with the way the CFO has accounted for the transaction?

Explain your reasoning.

A demand loan of $6000 is repaid by payments of $3000 after two years, $3000 after
four years, and a final payment after seven years. Interest is 8% compounded quarterly
for the first two years, 9% compounded semi-annually for the next two years, and 9%
compounded quarterly thereafter. What is the size of the final payment?

TOPRAK A.Ş. After the separation point, they produce G10 and H8 products, and after the additional cost expense of 15.000 TL for G10 product and 45.000 TL for H8 product, new product is produced under the names Super G10 and Super H8. 250 kg from Super G10 and 400 kg from Super H8 are produced. The sales price of Super G10 is 400TL / kg, and the sales price of Super H8 is 800 TL / kg. Total combined costs up to the point of separation are 255.000 TL.

If desired, G10 product can be sold for 30.000 TL, and H8 product can be sold for 70.000 TL, at the point of separation.

According to these data;

a) Distribute the combined cost using the gross profit rate method.

b) In your opinion, should the enterprise subject G10 and H8 products to additional production? Please explain.

c) Distribute the combined cost with the assumption that 420 kg of secondary products are available, with a market value of 10TL / kg before the separation point.

A project ends after 4 years. The after tax salvage value is 12,860 and the released working capital equals 40,000 at the end of the project. Assume a 9.82% WACC and compute the present value of the terminal cash flows.

(1 point) The count in a bacteria culture was 200 after 15 minutes and 557 after 25 minutes. Assume the growth can be modelled exponentially by a function of the form Q(t)=A e rt Q(t)=Aert , where t t is in minutes. (a) Find the relative growth rate, with at least the first 5 digits after the decimal point entered correctly: r= r= equation editor Equation Editor (b) What was the initial size of the culture? Round your answer to the closest integer. equation editor Equation Editor (c) Find the doubling period (in minutes). equation editor Equation Editor (d) Find the population after 95 minutes. Use your answer to part (b) as the initial amount. equation editor Equation Editor (e) When will the population reach 11000? After