In a letter to your 12 year old brother explain why the price of a bond and in the interest earned on the holding of a bond must move opposite direction. Please make in a letter.
In: Finance
Prepare the financing section of the statement of cash flows for the year ended December 31, 2018.
13) Dakota Telescopes Company uses the indirect method to prepare the statement of cash flows. Refer to the following income statement:
Dakota Telescopes Company
Income Statement
Year Ended December 31, 2019
Sales Revenue $275,000
Interest Revenue 2,600
Total Revenues $277,600
Cost of Goods Sold 135,000
Salary Expense 66,500
Depreciation Expense 32,000
Other Operating Expenses 35,900
Interest Expense 2,400
Income Tax Expense 6,500
Loss on Sale of Plant Assets 2,000
Total Expenses and Losses 280,300
Net Loss ($2,700)
Additional information provided by the company includes the following:
Current assets other than cash decreased by $25,000.
Current liabilities increased by $3,000.
Prepare the operating activities section of the statement of cash flows.
In: Accounting
Assume there are three companies that in the past year paid exactly the same annual dividend of $1.28 a share. In addition, the future annual rate of growth in dividends for each of the three companies has been estimated as follows: SEE TABLE. Assume also that as the result of a strange set of circumstances, these three companies all have the same required rate of return (r=12).
|
Buggies- Are-Us |
Steady Freddie, Inc |
Gang Buster Group |
|
| g = 0 | g = 8% | Year 1 | $1.44 |
| (i.e.
dividends are expected to remain at $1.28/share |
(for
the foreseeable future) |
2 | $1.62 |
| 3 | $1.82 | ||
| 4 | $2.05 | ||
| Year 5
and beyond: g = 8% |
a. Use the appropriate DVM to value each of these companies.
b. Comment briefly on the comparative values of these three companies. What is the major cause of the differences among these three valuations?
For Buggies-Are-Us, the value of the company's common shares is _______ (Round to the nearest cent.)
For Steady Freddie, Inc., the value of the company's common shares is ______(Round to the nearest cent.)
For Gang Buster Group, the value of the company's common shares is _______ (Round to the nearest cent.)
In: Finance
Compute the interest paid on a 3-year lease for a $29,767 car if the annual rate of depreciation is 19% and the lease's annual interest rate is 3.6%.
Round your answer to the nearest dollar.
In: Finance
The following information is presented for the Worldwide Auditor's Association. For the year ended November 30, 2017, the organization had set a membership goal of 100,000 members with the following anticipated results (and actual results for the year-end). Worldwide Auditors' Association Revenues and Expenses For Year Ending November 30, 2017 ($ in thousands) Planned Actual Revenues $55,859.6 $55,054.0 Expenses Salaries 27,900.0 29,000.0 Other personnel costs 6,975.0 6,786.0 Occupancy costs 3,859.6 5,650.0 Reimbursement to local units 1,480.0 1,600.0 Other membership services 1,050.0 1,000.0 Printing and paper 525.0 640.0 Postage and shipping 220.0 242.0 General and administrative 1,090.0 1,076.0 Excess of revenues over expenses $12,760.0 $ 9,060.0 Additional information (PLANNED): • Membership dues were increased from $360 to $400 at the beginning of the year. • One-year subscriptions to Worldwide Auditor were anticipated to be 2,400 units. • Advertising revenue was budgeted at $320,000. Each magazine was budgeted at a cost of $36. • A total of 29,000 technical reports were anticipated at an average price of $80 with average costs of $22. • The budgeted one-day courses had an anticipated attendance of 33,000 with an average fee of $450. The two-day courses had an anticipated attendance of 3,000 with an average fee of $770 per person. • The organization began the year with net capital assets of $88,000,000 with a planned cost of capital of 9 percent. Additional 2017 information (ACTUAL): • Membership dues are $400 per year, of which $100 is considered to cover a one-year subscription to the association’s journal. Other benefits include membership in the association and unit affiliation. • One-year subscriptions to Worldwide Auditor are sold to nonmembers for $160 each. A total of 2,500 of these subscriptions were sold. In addition to subscriptions, the journal generated $400,000 in advertising revenue. The cost per magazine was $40. • A total of 30,000 technical reports were sold by the Books and Reports Department at an average unit selling price of $90. Average costs per publication were $24. • The association offers a variety of continuing education courses to both members and nonmembers. During 2017, the one-day course, which cost participants an average of $500 each, was attended by 31,300 people. A total of 1,985 people took two-day courses at a cost of $800 per person. • General and administrative expenses include all other costs incurred by the corporate staff to operate the association. • The organization has net capital assets of $90,060,000 and had an actual cost of capital of 9 percent. Required a. Prepare a balanced scorecard for IAA for November 2017 with calculated key performance indicators presented in two columns for planned performance and actual performance--include key financial, customer, and operating performance indicators. Include all zeros with figures. For example, 2017 Planned Total Revenues for $55,859.6 (thousand) is entered as $55,859,600 2017 Planned 2017 Actual Financial information Total revenues $Answer 55,859,600 $Answer 55,054,000 Total costs Answer 43,099,600 Answer 45,994,000 Journal advertising Answer 320,000 Answer 400,000 ROI (round to three decimal places) Answer 0.145 Answer 0.101 Residual income Income $Answer 12,760,000 $Answer 9,060,000 Minimum return Answer 7,920,000 Answer 8,105,400 Residual income $Answer 4,840,000 $Answer 954,600 Customer information Course attendance Answer 36,000 Answer 33,285 Technical reports sold Answer 29,000 Answer 30,000 Operating criteria Average cost per special publication $Answer 220 $Answer 242 Average cost per magazine $Answer 36 $Answer 40 Other personnel costs vs. salaries* Answer 0.25 Answer 0.234 *Compute as a ratio. Round three decimal places. b. Which of the evaluation areas you selected indicated success and which indicated failure? Success areas: 1. Answer 2. Answer 3. Answer Failure areas: 1. Answer 2. Answer 3. Answer
In: Accounting
The following table shows the nominal returns on Brazilian stocks and the rate of inflation.
| Year | Nominal Return (%) | Inflation (%) |
| 2012 | 0.2 | 6.9 |
| 2013 | -16.0 | 7.0 |
| 2014 | -14.0 | 7.5 |
| 2015 | -42.5 | 11.8 |
| 2016 | 67.3 | 7.4 |
| 2017 | 28.0 | 4.0 |
a. What was the standard deviation of the market returns?
b. Calculate the average real return
In: Finance
The information that follows is for Nancy’s Name Tents for the year ended December 31, 2015 and
covers questions 26-31. All per unit costs below are based on the production and sale of 3,000 name tents.
The relevant range is from 0 - 3,500 units.
Sales $50 sales price per name tent
Costs:
Variable Costs Per Tent (3,000 name tents produced and sold)
Direct materials 8
Direct labor 7
Manufacturing overhead 8
Period Costs 5
Fixed Costs
Manufacturing overhead 10
Period Costs 5
1) If 10,000 tents are produced and sold, what is the product cost per tent?
2) If 15,000 tents are produced and sold, what is the product cost per tent?
3) If 2,000 tents are produced and sold, what is the product cost per tent?
4) What is the fixed cost per tent at 1,000 tents (including period costs) produced and sold?
5) What are total period costs at 1,000 name tents (produced and sold)?
In: Accounting
Flora, Inc., reported an EPS of $5.0 this year (t0). Flora is expected to maintain a retained earnings ratio of 0.5 and ROE of 0.18 for the next five years. After the fifth year, ROE is expected to decrease to 0.08. Applying the cost of equity of 0.13 and the multi-stage growth model, compute the intrinsic price of Flora.
*Round your answer to TWO decimal places.
In: Finance
You are required to log data of humidity for a warehouse site
survey of one year. Make a block diagram of system that would be
used to collect data for analysis and explain the components
briefly? attach picture with next section
Your answer
Differentiate between a sensor and a transducer. Support your
answer with at least two examples?
Your answer
In: Electrical Engineering
1. If the future value of an ordinary, 7-year annuity is $10,000 and interest rates are 4%, what is the future value of the same annuity due? A. $9,615.39 B. $10,010.00 C. $10,710.00 D. $10,400.00
2.The returns on the common stock of ACME closely follow the economy. In a booming economy, the stock is expected to return 23% in comparison to 14% in a normal economy and a -18% in a recession. The probability of a recession is 18% while the probability of a boom is 22%. What is the standard deviation of ACME stock's returns?
|
A. 14.71% |
||
|
B. 12.01% |
||
|
C. 11.51% |
||
|
D. 15.81% |
||
|
E. 13.71% |
3. Suppose the common stock of ACME has a beta of 1.28 and a required return of 15.47%. The rate of return on T-Bills 3.7% while the inflation rate is 4.2%. What is the expected market risk premium?
|
A. 10.13% |
||
|
B. 11.50% |
||
|
C. 11.20% |
||
|
D. 7.12% |
||
|
E. 9.20% |
In: Finance