A fund has 100,000 at the start of the year. Six months later, the fund has a value of 75,000 at which time, Stuart adds an additional 75,000 to the fund. At the end of the year, the fund has a value of 200,000. Calculate the exact dollar weighted rate of return.

Afund has 10,000 at the start of the year. Six months later, the fund has a value of 15,000 at which time, Stuart removes 5,000 from the fund. At the end of the year, the fund has a value of 10,000. Calculate the exact dollar weighted rate of return less the time weighted rate of return.

Squaw Valley Recreation is in the process of analyzing a new three year project to grow their business. At the beginning of this project, Squaw Valley will need to spend $2,460,000 to build the required fixed asset. This asset will have a depreciation period of three-years and will use the straight-line method of depreciation and it will be depreciated to zero. The asset will have no salvage value at the end of the project. This new project will have an estimated annual sales amount of $2,950,000. The estimated annual costs for this project are $1,970,000. The appropriate tax rate to use for this analysis is 22 percent. The CFO of Squaw Valley has indicated that the required return for this project is 9 percent. Calculate the NPV for this project.  (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

A homeowner could take out a 15 year mortgage at a 3.5% annual rate on a $250,000 mortgage amount or she could refinance the purchase with a 30 year mortgage at a 4% annual rate. How much total interest over the entire mortgage periods could she save by financing her home with a 15 year mortgage to the nearest dollar? 1.) 130,408 2.) 110,105 3.)107,977 4.) 95,107 5.) 150,250

Your company purchased $2,000 of supplies and recorded the amount as an asset. At year end, a physical count shows $700 of supplies on hand. Before closing the books, it is discovered that an adjusting entry was never made. If no correcting entry is made, the balance sheet will be accurate, but the income statement will be understated assets will be understated and net income will be overstated assets will be overstated and net income will be overstated the income statement will be accurate, but the balance sheet will be understated assets will be overstated and net income will be understated assets will be understated and net income will be understated

Select 15 ratios to use at year end and give a description and example of each.

What is the present value of $1,200 per year, at a discount rate of 8 percent, if the first payment is received 9 years from now and the last payment is received 28 years from now?

The following unadjusted trial balance is for Montana Construction Company as of year-end for the December 31, 20x7 fiscal year. The December 31, 20x6 credit balance of the stockholders’ equity account is $46,900, and the stockholders invested $40,000 cash in the company during 20x7.

NO.      Account Title                          Debit               Credit

101      Cash                                         $7,000

126      Supplies                                   $16,000

128      Pre-paid insurance                   $12,600

167      Equipment                               $200,000

168      Accumulated depreciation – equipment $14,000

201      Accounts payable $6,800

251      Long-term notes payable $30,000

301      Stockholders’ equity $86,900

302      Dividends                                 $12,000

401      Demolition fees earned $187,000

623      Wage expense $41,400

633      Interest expense                     $3,300

640     Rent expense                          $13,200

683     Property tax expense               $9,700

684      Repairs expense                      $4,700

690     Utilities expense                      $4,800

TOTALS $324,700         $324,700

Instructions:

a) Journalize the following adjusting entries as of fiscal year-end December 31, 20x7.

b) Using the worksheet, post the adjusting entries using the adjustments column and prepare the adjusted trial balance.

c) Create financial statements. Namely, i) the income statement, ii) statement of stockholders’ equity, and iii) the balance sheet for 20x7.

Adjustments needed:

The supplies available at the end of fiscal 20x7 year are at a cost of $7,900.

The cost of expired insurance for the fiscal year is $10,600.

Annual depreciation on equipment is $7,000; no other depreciation adjustment was made in 20x7.

The December utilities expense of $800 is not included in the adjusted trial balance because the bill arrived after the trial balance was prepared. The $800 amount owed needs to be recorded.

The company's employees have earned $2000 in accrued wages for the fiscal year.

The rent expense not yet paid or recorded in the fiscal year is $3000.

Additional property taxes of $550 have been assessed for the fiscal year, but have not yet been paid or recorded in the accounts.

The $300 accrued interest for December has not yet been paid and reported.

BWT, Inc. shows the following data in its financial statements at the end of the year. Assume all securities were outstanding for the entire year. 6.125% convertible bonds, convertible into 33 shares of common stock. Issue price $1,000, 100 bonds outstanding. 6.25% convertible preferred stock, $100 par, 2,315 shares outstanding. Convertible into 3.3 shares of common stock, Issue price $100. 8% convertible preferred stock, $100 par, 2,572 shares outstanding. Convertible into 5 common shares, Issue price $80. 9,986 warrants are outstanding with an exercise price of $38. Each warrant is convertible into 1 share of common. Average market price of common is $52.00 per share. Common shares outstanding at the beginning of the year were 40,045. Net Income for the period was $200,000, while the tax rate was 40%. What are the basic and diluted EPS for the year? Basic EPS Diluted EPS

Multiple Choice

• 21.46%

• 21.9%

• 22.34%

• 20.8%

• 23%