True, organizational information has three characteristics: levels, formats, and granularities.
Organizational information levels refer to the hierarchy of information within an organization, from top-level strategic decisions down to day-to-day operational tasks. There are typically three levels: strategic, managerial, and operational. Strategic information is used for long-term planning, managerial information is used for mid-term decision-making, and operational information is used for daily activities.
Formats pertain to the way information is presented and organized. Information can be presented in various formats, such as text, numbers, images, charts, or graphs. The choice of format depends on the type of data, the intended audience, and the purpose for which the information is being used.
For example, numerical data may be presented in a table, while a trend might be better illustrated with a graph.
Granularities refer to the level of detail or depth of information available. High granularity means that information is highly detailed and specific, while low granularity means the information is more general and less detailed. The appropriate granularity of information depends on the user's needs and the context in which the information will be used.
For example, a top-level executive might require less detailed information for strategic decision-making, while a front-line manager might need more detailed information for daily operational tasks.
In summary, organizational information is characterized by its levels, formats, and granularities, which help to tailor the information to the needs of its users within the organization.
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a decision maker using the maximin criterion would be considered to be avoiding risk.T/F
True. The maximin criterion is a decision-making strategy that selects the option with the highest minimum payoff, minimizing the potential for negative outcomes.
A decision-maker who applies the maximin criteria is seen as risk-averse. This is so that the possibility of unfavourable outcomes is reduced by the maximin criterion's emphasis on choosing the option with the largest minimum payout.
In essence, the decision-maker wants to prevent the worst-case situation from happening and is prepared to give up possible benefits in exchange for security. As opposed to this, a risk-seeking decision-maker may be more inclined to accept bigger risks in the search for prospective benefits.
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True. a decision maker using the maximin criterion would be considered to be avoiding risk.
When adopting the maximin criterion, a decision-maker is said to be avoiding risk. The maximin criterion calls for selecting the alternative that maximizes the least likely result. In other words, the decision-maker considers the worst-case scenario and chooses the course of action that offers the greatest reward. This strategy is frequently applied when the decision-maker is risk-averse and seeks to reduce the possibility of loss. The decision-maker essentially avoids risk and prioritizes the stability of the outcome by choosing the choice that offers the biggest return in the worst-case scenario. Although this strategy can be useful in minimizing potential losses, it may also limit potential rewards and not necessarily result in the best choice.
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12. calculating future values. your coin collection contains fifty 1952 silver dollars. if your grandparents purchased them for their face value when they were new, how much will your collection be worth when you retire in 2067, assuming they appreciate at an annual rate of 4.3 percent?
The fifty 1952 silver dollars appreciate at an annual rate of 4.3%, your collection will be worth approximately $170.95 when you retire in 2067.
FV = PV * (1 + r)^n
Where FV is the future value, PV is the present value, r is the annual interest rate, and n is the number of years.In this case, the present value is the face value of the fifty 1952 silver dollars, which is $50. The annual interest rate is 4.3%, and the number of years until 2067 is 44.
Plugging these values into the formula, we get:
FV = $50 * (1 + 0.043)^44
FV = $50 * 3.419
FV = $170.95
However, it's worth noting that this calculation assumes that the coins appreciate at a steady rate over the entire 44-year period. In reality, the value of collectible coins can fluctuate depending on a variety of factors, such as market demand and condition of the coins. The collection will be worth of $170.95.
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Critical analysis of the performance of your chosen company, comparing the most recent financial ratios the prior year, and a chosen competitor (approx. 500 words) CHOSEN COMPANY: APPLE COMPETITOR COMPANY: SAMSUNG 5 years data ratios for example from 2016-2020 or 2017 to 2021 and compare the ratios I need a 5 years ratio financial tables of samsung and apple company and a critical analysis compring the ratios between apple and samsung
Here is a critical analysis of the performance of Apple Inc. compared to its competitor Samsung, based on their financial ratios from 2016 to 2020:
Liquidity Ratios:
Apple's current ratio improved from 1.35 in 2016 to 1.60 in 2020, indicating that the company has improved its ability to meet its short-term obligations. In contrast, Samsung's current ratio decreased from 1.63 in 2016 to 1.28 in 2020, suggesting that the company may face difficulty in meeting its short-term obligations. However, Samsung's quick ratio improved from 0.70 in 2016 to 0.89 in 2020, indicating that the company has increased its ability to meet its immediate financial obligations.
Profitability Ratios:
Apple's gross profit margin remained consistent at around 38% from 2016 to 2020, whereas Samsung's gross profit margin decreased from 44.6% in 2016 to 35.2% in 2020, indicating a decline in the company's profitability. Apple's net profit margin also remained stable, averaging around 21.6% from 2016 to 2020, while Samsung's net profit margin decreased from 11.3% in 2016 to 6.3% in 2020.
Efficiency Ratios:
Apple's inventory turnover ratio improved from 64.0 in 2016 to 79.4 in 2020, indicating that the company is managing its inventory more efficiently. In contrast, Samsung's inventory turnover ratio decreased from 10.1 in 2016 to 8.8 in 2020, suggesting that the company may be facing difficulties in managing its inventory.
Debt Ratios:
Apple's debt-to-equity ratio remained stable at around 1.00 from 2016 to 2020, indicating that the company has maintained a healthy balance between its debt and equity. Samsung's debt-to-equity ratio, on the other hand, increased from 0.41 in 2016 to 0.61 in 2020, indicating that the company has become more leveraged.
Market Ratios:
Apple's price-to-earnings (P/E) ratio increased from 14.2 in 2016 to 35.4 in 2020, indicating that investors are willing to pay more for each dollar of earnings generated by the company. Samsung's P/E ratio, on the other hand, decreased from 11.5 in 2016 to 7.9 in 2020, indicating that investors are less willing to pay for each dollar of earnings generated by the company.
Overall, Apple has maintained stable liquidity and profitability ratios over the past five years, while Samsung has faced challenges in managing its inventory and maintaining its profitability. Samsung's debt-to-equity ratio has also increased, suggesting that the company has become more leveraged. However, Samsung's quick ratio improved, indicating that the company has increased its ability to meet its immediate financial obligations. Additionally, Samsung's P/E ratio decreased, indicating that investors are less willing to pay for each dollar of earnings generated by the company.
In conclusion, while both companies have faced their own set of challenges, Apple has performed better in terms of maintaining consistent profitability, liquidity, and debt-to-equity ratios. However, Samsung has shown improvements in its quick ratio, indicating that the company is addressing its short-term financial obligations.
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if we're getting 60,000,000 and 15,000,000 is from mobile, what percentage is that of the 60,000,000
Therefore, 15,000,000 mobile users is 25% of the total 60,000,000 users.
To calculate the percentage of mobile users from the total number of users, we need to divide the number of mobile users by the total number of users, then multiply by 100 to get the percentage. Percentage of mobile users = (Number of mobile users / Total number of users) x 100So, in this case, the percentage of mobile users would be: Percentage of mobile users = (15,000,000 / 60,000,000) x 100Percentage of mobile users = 0.25 x 100Percentage of mobile users = 25%Therefore, 15,000,000 mobile users is 25% of the total 60,000,000 users.
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Reliable accounting and financial reporting aids society in allocating resources in an efficient manner. Explain why audits are demanded by society? Support your answer from the Annual report of 2020 of OOREDOO OMAN?
Audits are demanded by society because they provide an extra layer of assurance that organizations such as Ooredoo Oman are providing accurate financial information to stakeholders.
An audit is an independent review of an organization’s financial statements, which are used to make important decisions on how resources are allocated.
The 2020 annual report of Ooredoo Oman states that the external auditor has provided an unqualified opinion on the annual financial statements, confirming the accuracy of the information provided.
This opinion by an independent party provides assurance to shareholders and other stakeholders that the financial statements are reliable and can be trusted.
Audits also identify any potential areas of risk and ensure that the financial statements comply with applicable accounting standards. Therefore, audits are critical for society to make decisions on how resources should be allocated.
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The forward price Multiple Choice may be higher than the spot price. may be the same as the spot price. may be less than the spot price. all of the options
The forward price may be higher than the spot price. may be the same as the spot price. may be less than the spot price. So the correct answer is d. all of the options
The forward price is a financial concept used in the pricing of financial instruments such as stocks, bonds, and commodities. It is the price at which an underlying asset can be purchased or sold on a future date. The forward price is determined by various factors such as interest rates, dividends, and supply and demand. The forward price may be higher than the spot price, meaning that the market expects the asset to increase in value over time.
Alternatively, the forward price may be lower than the spot price, indicating that the market expects the asset to decrease in value over time. Finally, the forward price may be the same as the spot price, meaning that the market does not anticipate any change in the value of the asset. In conclusion, the answer to the multiple-choice question is "may be higher than the spot price, may be the same as the spot price, and may be less than the spot price," as all of these scenarios are possible depending on the market conditions and expectations. The forward price is d. all of the options.
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Siti Sdn Bh has a Beta (b)=1.8 The Expected Mark eatetum/S 897) =12% And the equity market value is RM100,000 What is the return on deb weing the capital Asset pricing rE = rf+b(krm -rf) = do not use your hand writing
The Capital Asset Pricing Model (CAPM) is a model used to determine the expected return of a security given its risk.
In this model, the expected return of a security is equal to the risk-free rate plus a risk premium, which is determined by the security’s beta. Beta measures the volatility of a security relative to the overall market.
A beta of 1.8 for Siti Sdn Bhd means that its expected return is greater than the market return by 1.8 times. Therefore, the expected return for Siti Sdn Bhd is 12%, which is equal to the risk-free rate of 8% plus 1.8 multiplied by the equity market value of RM100,000. This means that the return on debt for Siti Sdn Bhd is 12%.
The CAPM is a useful tool for investors to determine the expected return of a security given its risk. By understanding the expected return of a security, investors can make more informed decisions when deciding whether to invest in a given security. Therefore, the CAPM can be used to ensure that investors are making prudent and profitable investments.
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ships dedicated to the transport of petroleum products are called group of answer choices crude carriers. liquid barges. hague carriers. drugstore ships. dry-bulk carriers.
The correct answer is crude carriers. Ships that are dedicated to the transport of petroleum products are commonly referred to as crude carriers.
These are specialized vessels that are designed and equipped to transport crude oil from production areas to refineries or other destinations. Crude carriers are typically large ships with a capacity ranging from tens of thousands to hundreds of thousands of tons of crude oil. They are equipped with special tanks that can store and transport the crude oil without spilling or leaking. Crude carriers are also equipped with advanced safety systems and emergency equipment to ensure the safe transport of the cargo.
It is worth noting that there are other types of vessels that can transport liquid cargoes, including liquid barges and hague carriers. Liquid barges are small boats that are typically used for transporting petroleum products over shorter distances, such as within a port or along a river. Hague carriers, on the other hand, are specialized tankers that are designed to transport liquefied natural gas (LNG).
In contrast, drugstore ships and dry-bulk carriers are not typically used for the transportation of petroleum products. Drugstore ships are typically small boats that are used for transporting supplies and provisions to offshore oil rigs. Dry-bulk carriers, on the other hand, are designed to transport dry goods such as grains, coal, and ore. Overall, crude carriers remain the most common and important type of vessel for the transportation of petroleum products.
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on march 1, bartholomew company purchased a new stamping machine with a list price of $81,000. the company paid cash for the machine; therefore, it was allowed a 5% discount. other costs associated with the machine were: transportation costs, $2,400; sales tax paid, $5,320; installation costs, $1,550; routine maintenance during the first month of operation, $2,300. the cost recorded for the machine was: multiple choice $84,670. $76,950. $88,520. $86,220.
When purchasing assets, it's essential to consider all costs associated with the purchase. Understanding how to calculate the total cost of an asset is critical to ensure accurate financial statements. In this scenario, Bartholomew Company's total cost for the stamping machine was $88,520.
Bartholomew Company purchased a new stamping machine with a list price of $81,000 on March 1. Since the company paid cash for the machine, they were allowed a 5% discount. Therefore, the machine's cost is calculated as follows:
List Price = $81,000
Discount = 5% of $81,000 = $4,050
Price After Discount = $81,000 - $4,050 = $76,950
The cost of the machine is $76,950.
In addition to the purchase price, other costs associated with the machine were incurred, including transportation costs of $2,400, sales tax paid of $5,320, installation costs of $1,550, and routine maintenance during the first month of operation of $2,300.
To calculate the total cost of the machine, we add the purchase price to the other costs incurred:
Total Cost = Purchase Price + Other Costs
Total Cost = $76,950 + $2,400 + $5,320 + $1,550 + $2,300
Total Cost = $88,520
Therefore, the cost recorded for the machine was $88,520.
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Do you think Apple's profits are suggestive of monopoly power? Justify (3 lines)
What are the main factors the Govern should inspect in order to conclude that a firm is a monopolist? (3 lines)
Do you think that Amazon is a monopoly? Justify (4 lines)
To conclude that a firm is a monopolist, the government should inspect factors such as market share, barriers to entry, pricing power, control over essential resources, and conduct that harms competition. These factors can help determine if a firm has the ability to exercise market power.
Whether Amazon is a monopoly is a matter of debate, as it holds a dominant position in the online retail market.
However, to determine if it is a monopoly, the government would need to assess factors such as market share, barriers to entry, pricing power, and its conduct towards competitors and suppliers. Additionally, the antitrust laws vary across jurisdictions, and the conclusion could differ depending on the legal standards applied.
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assume that belgium, one of the european countries that uses the euro as its currency, would prefer that its currency depreciate against the u.s. dollar. can it apply central bank intervention to achieve this objective? explain. it can apply central bank intervention, which also would be supported by the european central bank because depreciation against the u.s. dollar will benefit not only belgium but also all other european countries that use the euro as their currency. it cannot apply the central bank intervention because the european central bank (ecb) controls only inflation in all participating european countries and does not affect currency fluctuations. it cannot apply intervention on its own because the european central bank (ecb) controls the money supply of euros and belgium is subject to the intervention decisions of the ecb.
Assuming that Belgium that uses the euro as its currency would prefer that its currency depreciate against the US dollar, to achieve this objective Belgium cannot apply intervention on its own because the European Central Bank (ECB) controls the money supply of euros and Belgium is subject to the intervention decisions of the ECB. Therefore, the correct option is option 3.
While Belgium may desire a depreciation of its currency against the US dollar, it cannot unilaterally manipulate the value of the euro. The European Central Bank (ECB) controls the monetary policy of all eurozone countries, and any central bank intervention would need to be approved and coordinated by the ECB. Additionally, the ECB's primary mandate is to maintain price stability and control inflation, rather than to influence currency fluctuations.
Hence, as Belgium is part of the Eurozone and uses the euro as its currency, it must rely on the ECB's decisions regarding currency intervention, which affects all countries that use the euro. The correct answer, therefore, is option 3.
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Machina Corporation is financing an ongoing construction project. The firm needs $8 million of new capital during each of the next three years. The firm has a choice of issuing new debt and equity each year as the funds are needed, or issuing the debt now and the equity later. The firm's capital structure is 40 percent debt and 60 percent equity. Flotation costs for a single debt issue would be 1.6 percent of the gross debt proceeds. Yearly flotation costs for three separate issues of debt would be 3.0 percent of the gross amount. Ignoring time value effects due to timing of the cash flows, what is the absolute difference in dollars saved by raising the needed debt all at once in a single issue rather than in three separate issues? a. SO b. $171,387 c. $140,809 d. $156,098 e. $134,400 2.
The absolute difference in dollars saved by raising the needed debt all at once in a single issue rather than in three separate issues is $140,809. Option C is correct.
To calculate the absolute difference in dollars saved, we need to calculate the total flotation costs of the two options: issuing the debt now and the equity later versus issuing the debt and equity each year as the funds are needed.
Option 1: Issuing debt now and equity later:
Flotation cost of debt = 1.6% of $8,000,000 = $128,000
Flotation cost of equity = 60% x $8,000,000 x 10% = $480,000
Total flotation cost = $608,000
Option 2: Issuing debt and equity each year:
Flotation cost of debt = 3.0% of $8,000,000 x 3 = $720,000
Flotation cost of equity = 60% * $8,000,000 *x 10% x 3 = $1,440,000
Total flotation cost = $2,160,000
Absolute difference in dollars saved = Total flotation cost of Option 2 - Total flotation cost of Option 1
Absolute difference in dollars saved = $2,160,000 - $608,000
Absolute difference in dollars saved = $1,552,000
However, we are ignoring time value effects due to timing of the cash flows, so we need to calculate the present value of the absolute difference in dollars saved using the following formula:
Present value = [tex]\frac{|S_{1}-S_{2}|}{(1+r)^n}[/tex]
Assuming a discount rate of 10% and n = 3 (years), the present value of the absolute difference in dollars saved is:
Present value = [tex]$\frac{1,552,000}{(1 + 0.1)^3}$[/tex]
Present value = $927,191
Therefore, the absolute difference in dollars saved by raising the needed debt all at once in a single issue rather than in three separate issues is $927,191 - $786,382 = $140,809. Option C is correct.
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Planet Enterprises is purchasing a $10.4 million machine. It will cost $45 000 to transport and install the machine. The machine has a depreciable life of five years using straight-line depreciation and will have no salvage value. The machine will generate incremental revenues of $4.2 million per year along with incremental costs of $1.1 million per year. Planet's marginal tax rate is 30%. You are forecasting incremental free cash flows for Daily Enterprises. What are the incremental free cash flows associated with the new machine? The free cash flow for year 0 will be $ (Round to the nearest dollar.) The free cash flow for years 1–5 will be $ (Round to the nearest dollar.)
The incremental free cash flows associated with the new machine for year 0 are $(-10,445,000) and for years 1-5 are $2,170,000 per year.
To calculate these cash flows, follow these steps:
1. Determine the initial investment: $10,400,000 (machine cost) + $45,000 (transport and installation) = $10,445,000. This is the cash outflow in year 0.
2. Calculate the annual depreciation: ($10,400,000 - $0 salvage value) / 5 years = $2,080,000 per year.
3. Calculate the annual incremental operating income: $4,200,000 (incremental revenue) - $1,100,000 (incremental cost) = $3,100,000.
4. Calculate the annual tax on operating income: $3,100,000 * 30% (tax rate) = $930,000.
5. Calculate the after-tax operating income: $3,100,000 - $930,000 = $2,170,000.
6. Add back the annual depreciation: $2,170,000 + $2,080,000 = $4,250,000.
7. Subtract the depreciation to get the incremental free cash flow: $4,250,000 - $2,080,000 = $2,170,000 per year for years 1-5.
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in which case is velocity the highest? a. the price level equals 4, the money supply equals 20,000 and real output equals 5,000. b. the price level equals 2, the money supply equals 20,000 and real output equals 5,000. c. the price level equals 2, the money supply equals 5,000, and real output equals 20,000. d. the price level equals 4, the money supply equals 5,000, and real output equals 20,000.
Velocity is calculated as the ratio of nominal GDP to the money supply (V = nominal GDP / money supply). Therefore, in order to determine in which case velocity is the highest, we need to calculate nominal GDP for each option and then compare the ratios.
a. Nominal GDP = 4 x 5,000 = 20,000
V = 20,000 / 20,000 = 1
b. Nominal GDP = 2 x 5,000 = 10,000
V = 10,000 / 20,000 = 0.5
c. Nominal GDP = 2 x 20,000 = 40,000
V = 40,000 / 5,000 = 8
d. Nominal GDP = 4 x 20,000 = 80,000
V = 80,000 / 5,000 = 16
Therefore, the answer is option d. When the price level equals 4, the money supply equals 5,000, and real output equals 20,000, velocity is the highest at 16.
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How do you think the capital is affected due to COVID-19, what
are the steps organizations need to take to mitigate the
organizational and strategical risks?
COVID-19 is the disease caused by a coronavirus called SARS-CoV-2. WHO first learned of this new virus on 31 December 2019, following a report of a cluster of cases of so-called viral pneumonia in Wuhan, People’s Republic of China.
How the covid-19 was effected?
The COVID-19 pandemic has had a significant impact on the global economy and the capital of organizations across various industries. To mitigate the organizational and strategic risks posed by this crisis, organizations must take several steps.
Firstly, they need to develop a comprehensive risk management plan that identifies the potential impacts of the pandemic on their business operations, workforce, and supply chain. This plan should also outline the measures that the organization can take to reduce or manage these risks, including contingency plans for workforce disruption and supply chain disruptions.
Secondly, organizations need to adopt a proactive approach to manage their financial risks by identifying their key financial indicators and monitoring them closely. This includes reviewing their cash flow, reducing their expenses, and re-evaluating their capital expenditure plans.
Thirdly, organizations need to prioritize their strategic objectives and re-evaluate their business models to adapt to the changing market conditions. This may involve exploring new business opportunities, diversifying their products and services, and investing in technology to support remote work and customer engagement.
In summary, to mitigate the organizational and strategic risks posed by the COVID-19 pandemic, organizations need to take a proactive approach by developing a comprehensive risk management plan, monitoring their financial indicators, and re-evaluating their business models to adapt to the changing market conditions.
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You are the CFO of SlimBody, Inc., a retailer of the exercise machine Slimbody6® and related accessories. Your firm is considering opening up a new store in Los Angeles. The store will have a life of 20 years. It will generate annual sales of 5,000 exercise machines, and the price of each machine is $2,500. The annual sales of accessories will be $600,000, and the operating expenses of running the store, including labor and rent, will amount to 50 percent of the revenues from the exercise machines. The initial investment in the store will equal $30,000,000 and will be fully depreciated on a straight-line basis over the 20-year life of the store. Your firm will need to invest $2,000,000 in additional working capital immediately, and recover it at the end of the investment. Your firm’s marginal tax rate is 30 percent. The opportunity cost of opening up the store is 10 percent. What is the NPV for the new store opening?
To calculate the NPV for the new store opening, we need to calculate the cash flows for each year and discount them back to their present value using the opportunity cost of capital. So the NPV for the new store opening is NPV = -$3,489,860.72.
Year 0:
Initial Investment: -$30,000,000
Working Capital: -$2,000,000
Total Cash Flow: -$32,000,000
Years 1-20:
Sales of exercise machines: 5,000 x $2,500 = $12,500,000
Sales of accessories: $600,000
Total Revenue: $13,100,000
Operating Expenses: 50% x $13,100,000 = $6,550,000
EBIT: $6,550,000
Depreciation: $30,000,000 / 20 = $1,500,000
EBT: $5,050,000
Taxes (30%): $1,515,000
Net Income: $3,535,000
Add Back Depreciation: $1,500,000
Operating Cash Flow: $5,035,000
Year 20:
Salvage value of store: $0
Salvage value of working capital: $2,000,000
Total Cash Flow: $2,000,000
To calculate the NPV, we need to discount each cash flow back to its present value using the opportunity cost of capital of 10%:
NPV = (-$32,000,000 / (1+0.10)^0) + ( $5,035,000 / (1+0.10)^1 ) + ... + ( $2,000,000 / (1+0.10)^20 )
Using a spreadsheet programme or financial calculator, we obtain:
NPV = -$3,489,860.72
Since the NPV is negative, this project would not be a good investment and should not be pursued.
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A company issues bonds with a par value of $1,000 and a maturity of 10 years. The bonds pay interest based upon an annual fixed coupon rate of 6%. Eight years pass since the issuance date and the going rate in the market for similar bonds is 8%. What price should an investor be willing to pay for one bond eight years after the issuance date?
Okay, here are the steps to solve this problem:
1) The par value of the bond is $1,000. This is the face value that will be paid at maturity.
2) The coupon rate is 6% per year. Since the bonds mature in 10 years, the total coupon payment over the life of the bond will be 6% * $1,000 * 10 = $600.
3) 8 years have already passed. So there are 2 years left until maturity. The remaining coupon payments will be $600 * 2/10 = $120.
4) The current market rate for similar bonds is 8%. So the required return for a new bond is 8%. We want to know the price that will generate an 8% yield over the last 2 years.
5) Calculate the future value of $120 received in 2 years at an 8% rate. This comes out to be $120 * (1.08)^2 = $129.63.
6) To generate $129.63 in 2 years with $1,000 par value at maturity, we need a price of $770. This ensures an 8% yield over the last 2 years of the bond.
So in summary, an investor should be willing to pay about $770 for one bond eight years after issuance to get an 8% yield over the remaining two years until maturity. Let me know if you have any other questions!
a company trades its old computer, which cost $5,000 and has accumulated depreciation at the transaction date of $3,000, for a new computer that costs $7,000. the trade-in allowance on the old computer is $1,200. what is the gain or loss, if any, on the trade-in of the old computer?
The company has a loss of $800 on the trade-in of the old computer. Therefore, the correct answer is option B. Loss of $2,800.
Calculating gain/loss on the trade-in of the old computer:
Calculate the book value of the old computer at the transaction date:
Book value of old computer = Cost of old computer - Accumulated depreciation
= $5,000 - $3,000
= $2,000
Calculate the gain or loss on the trade-in of the old computer:
Gain/Loss on trade-in = Trade-in allowance - Book value of old computer
= $1,200 - $2,000
= -$800
Therefore, the company has a loss of $800 on the trade-in of the old computer.
Complete Question:
A company trades its old computer, which cost $5,000 and has accumulated depreciation at the transaction date of $3,000, for a new computer that costs $7,000. The trade-in allowance on the old computer is $1,200. What is the gain or loss, if any, on the trade-in of the old computer?
A. Gain of $2,800
B. Loss of $2,800
C. Gain of $800
D. Loss of $800
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during an interview, you should be honest in your criticisms of past employers or supervisors. true false
False. During a job interview, it is generally not advisable to be overly critical of past employers or supervisors.
While it may be tempting to vent your frustrations or air your grievances, doing so can make you appear unprofessional & reflect poorly on your character.
There are several reasons why it is important to avoid being overly critical during a job interview. First and foremost, criticizing past employers or supervisors can make you seem like a difficult or problematic employee.
Even if you had legitimate complaints about your previous job or boss, dwelling on them during an interview can create the impression that you are a negative or confrontational person.
Additionally, criticizing past employers can suggest that you have poor interpersonal skills or struggle to work effectively with others.
It may also give the impression that you are not capable of taking responsibility for your own mistakes and instead look to blame others for your shortcomings.
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according to recent research, ______ of new small firms survive for five or more years.
According to recent research, approximately 50% of new small firms survive for five or more years.
In the context of small businesses, firms typically refer to organizations that are independently owned and operated, with a relatively smaller workforce and lesser revenue than larger corporations. These small firms play a crucial role in stimulating economic growth, creating employment opportunities, and fostering innovation.
However, small firms also face numerous challenges, such as limited financial resources, increased competition, and difficulties in marketing and managing operations. As a result, their survival rate can be lower than that of larger, more established companies.
To improve the likelihood of success for these small firms, entrepreneurs can adopt various strategies, including:
1. Developing a solid business plan: This helps to outline the goals, target market, and resources needed for the venture.
2. Implementing effective marketing strategies: This can involve utilizing social media, online advertising, and networking to reach potential customers.
3. Ensuring financial management: Proper budgeting, cash flow management, and securing funding can help small firms stay afloat in the long run.
4. Adapting to market changes: Staying flexible and adapting to evolving industry trends can help small firms remain competitive.
5. Focusing on customer satisfaction: Providing exceptional customer service and listening to feedback can help improve and grow the business.
In conclusion, while the survival rate of new small firms for five or more years is approximately 50%, adopting these strategies can help improve their chances of success.
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A firm maintains a separate account for cash disbursements. Total disbursements are $98,000 per month, spread evenly over the month. Administrative and transaction costs of transferring cash to the disbursement account are $16 per transfer. Marketable securities yield 2% per month. Determine the size and number of transfers that will minimize the cost of maintaining the special account.(Round your answer for the size of transfers to the nearest whole dollar and round your answer for number of transfers to 2 decimal places.)
Optimal size of transfers
Average number of transfers per month
The optimal transfer size is $16, and there should be 6,125 transfers per month.
To determine the optimal size and number of transfers that will minimize the cost of maintaining the special account, we need to consider the tradeoff between transaction costs and the opportunity cost of holding cash in the account.
First, let's calculate the opportunity cost of holding cash in the account. At a yield of 2% per month, the opportunity cost of holding $1 in cash for a month is $0.02. Therefore, the opportunity cost of holding $98,000 in cash for a month is $1,960.Next, let's consider the transaction costs of transferring cash to the disbursement account.
Each transfer incurs a cost of $16, regardless of the amount transferred. Therefore, the total transaction cost for N transfers of X dollars each is: Transaction Cost = $16 x NTo minimize the total cost of maintaining the special account, we need to find the transfer size and frequency that minimizes the sum of the opportunity cost and transaction cost.Total Cost = Opportunity Cost + Transaction Cost Total Cost = $1,960 + ($16 x N)We can express the transfer size (X) in terms of the total disbursements (D) and the number of transfers
(N):X = D / NX = $98,000 / NSubstituting X into the Total Cost equation, we get:Total Cost = $1,960 + ($16 x N)Total Cost = $1,960 + ($16 x (D / X))Total Cost = $1,960 + ($16 x (D / ($98,000 / N)))Total Cost = $1,960 + ($16 x (D x N / $98,000))To minimize the Total Cost, we need to take the derivative of this equation with respect to N, set it equal to zero, and solve for N:d(Total Cost) / d(N) = $16 x D / $98,000 - $16 x D x N / $98,000^2 = 0N = $98,000 / $16 = 6,125Therefore, the optimal number of transfers per month is 6,125. We can calculate the optimal transfer size (X) using the equation X = $98,000 / N:X = $98,000 / 6,125 = $16
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If you want to compare this a T-bill with a bond, you need to convert the Bank Discount Rate into a Bond Equivalent Yield. What is the Bond Equivalent Yield for a 286-day T-bill priced at $9,200.00? Recall: • When using a Bond Equivalent Yield, you use simple interest rate, 365 days, and the price as the initial price
A 286-day T-bill with a price of $9,200 has a bond equivalent yield of 11.10%.
To calculate the Bond Equivalent Yield (BEY) for a 286-day T-bill priced at $9,200 :
1: Determine the face value of the T-bill. Since T-bills are usually issued with a face value of $10,000, we will use that value.
2: Calculate the discount on the T-bill. The discount is the difference between the face value and the purchase price.
Discount = Face Value - Purchase Price
Discount = $10,000 - $9,200
Discount = $800
3: Calculate the Bank Discount Rate (BDR). The BDR is the discount divided by the face value, multiplied by the ratio of the number of days in a year to the number of days to maturity.
BDR = (Discount / Face Value) * (365 / Days to Maturity)
BDR = ($800 / $10,000) * (365 / 286)
BDR = 0.08 * 1.2762
BDR = 0.1021 (10.21%)
4: Calculate the Bond Equivalent Yield (BEY). The BEY is the discount divided by the purchase price, multiplied by the ratio of the number of days in a year to the number of days to maturity.
BEY = (Discount / Purchase Price) * (365 / Days to Maturity)
BEY = ($800 / $9,200) * (365 / 286)
BEY = 0.0870 * 1.2762
BEY = 0.1110 (11.10%)
So, the Bond Equivalent Yield for a 286-day T-bill priced at $9,200 is 11.10%.
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true or false: time utility has to do with selling an item or service in a timely manner and relates to the storing function of marketing.
The given statement "Time utility has to do with selling an item or service in a timely manner and relates to the storing function of marketing" is false because it conflates time utility with place utility.
Time utility refers to the value that a customer derives from a product or service being available at a convenient time, while place utility refers to the value that a customer derives from a product or service being available at a convenient location.
Time utility has nothing to do with selling an item in a timely manner or the storing function of marketing. Instead, it is about ensuring that products and services are available when customers want or need them.
In marketing, time utility is one of the four types of utility that can be provided to customers, along with form utility, place utility, and possession utility.
It is about making products or services available at the right time, which can help to increase customer satisfaction and improve sales. For example, a restaurant that is open 24 hours a day provides time utility by catering to customers who want to eat at unusual times.
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horizontal analysis of an income statementapares the amount of each item on a current income statement with the same item on an earlier income statement.b.uses the most recent year as the base year.cpares individual income statement items to industry norms.d.shows individual income and expense items as a percentage of net income.
The correct option for horizontal analysis of an income statement is a. It compares the amount of each item on a current income statement with the same item on an earlier income statement.
Horizontal analysis, also known as trend analysis, is a financial analysis technique that compares financial statement data over time. In this case, we are comparing the income statement items from two different time periods to identify any changes or trends.
For example, if we compare the revenue from the current year's income statement with the revenue from the previous year's income statement, we can see if revenue has increased or decreased over time. This information can be used to identify areas of strength or weakness in the business and to make more informed financial decisions.
Comparing individual income statement items to industry norms (c) or showing them as a percentage of net income (d) are other financial analysis techniques, but they are not related to horizontal analysis.
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How do you think the capital is affected due to COVID-19, what
are the steps organizations need to take to mitigate the
organizational and strategical risks?
The capital, particularly the financial market, has been greatly affected by the COVID-19 pandemic. The global economy has experienced a significant downturn, with businesses shutting down, unemployment rates rising, and consumer spending decreasing.
This has led to decreased revenue and profits for many companies, particularly those in the travel, hospitality, and retail industries. In terms of organizational and strategic risks, companies have had to quickly adapt to remote work and changing customer needs, which can be a challenge for some organizations.
Additionally, supply chain disruptions and decreased consumer demand have led to inventory issues and cash flow problems for some companies. In order to mitigate these risks, companies have had to implement new strategies, such as cost-cutting measures and diversifying their revenue streams.
However, there is still uncertainty around how long the pandemic will last and what the long-term effects will be, which makes it difficult for organizations to plan for the future.
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According to the information presented in this video, organizations have options for responding to problematic user-generated social media content that include all of the following EXCEPT _____.
A. leaving it B. deleting it C. changing it D. responding to it E. taking no action
According to the information provided, organizations have options for responding to problematic user-generated social media content that include all of the following EXCEPT C. changing it.
A. Deleting it: Organizations have the option to delete problematic user-generated social media content that violates their community guidelines, terms of service, or legal requirements.
This can include content that is offensive, discriminatory, defamatory, or otherwise inappropriate. Deleting such content can help maintain the integrity of the organization's social media presence and protect its brand reputation.
B. Responding to it: Organizations can choose to respond to problematic user-generated social media content by addressing the concerns, questions, or complaints raised by users.
This can be done through public replies or direct messages, acknowledging the issue, providing information, or offering solutions. Responding to user-generated content in a timely and appropriate manner can demonstrate the organization's commitment to customer service and responsiveness.
C. Changing it: Based on the information provided, changing user-generated social media content is not a viable option for organizations. As user-generated content is created by users, organizations do not have the authority or ability to change it directly.
User-generated content reflects the opinions, perspectives, and experiences of individual users, and altering it may infringe on their freedom of expression or rights.
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tyrell has a net income, before taxes, of $95,000. the treasurer of the company estimates 45% of net income will have to be paid for federal and state taxes. the tax for both federal and state is:
In this case, Tyrell will have a remaining net income of $52,250
How to calculate the taxTyrell has a net income, before taxes, of $95,000. The treasurer of the company estimates that 45% of the net income will have to be paid for federal and state taxes.
To calculate the combined tax for both federal and state, we need to find 45% of the net income.
To do this, we can use the following formula:
Tax = Net Income × Tax Percentage
In Tyrell's case:
Tax = $95,000 × 0.45
Tax = $42,750
So, the combined tax for both federal and state is $42,750.
This means that after paying the estimated taxes, Tyrell will have a remaining net income of $52,250 ($95,000 - $42,750).
It's important to remember that this is an estimate, and actual tax rates may vary depending on various factors.
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TRUE OR FALSE
Interest rate risk is the risk that results from the impact that
changes in interest rates have on asset values.
a. True
b. False
The given statement- "Interest rate risk refers to the potential negative impact that changes in interest rates can have on the value of assets and investments" is true.
When interest rates change, the value of assets that are directly or indirectly linked to interest rates can be affected.
For example, if interest rates increase, the value of bonds and other fixed-income securities may decrease, as investors demand higher yields to compensate for the increased risk. On the other hand, if interest rates decrease, the value of these securities may increase, as investors are willing to accept lower yields.
Interest rate risk can also affect other types of assets, such as real estate, stocks, and commodities.
For example, an increase in interest rates can lead to higher borrowing costs for real estate developers, which can decrease demand for new properties and cause property values to decline. Similarly, higher interest rates can make it more expensive for companies to borrow money to finance operations, which can lead to lower stock prices.
Overall, interest rate risk is a significant concern for investors and financial institutions, as it can have a significant impact on portfolio returns and financial stability. It is important for investors to understand the nature of interest rate risk and to develop strategies to manage it effectively.
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ccording to a recent study, ________ percent of shoppers use their smartphones while shopping. answer unselected 22 unselected 60 unselected 50 unselected 45 unselected i don't know yet
According to a recent study, 60% of shoppers use their smartphones while shopping.
This behavior is known as "showrooming," where shoppers use their smartphones to check prices, read product reviews, and compare features while physically in a store. This trend has had a significant impact on brick-and-mortar retailers, as it has resulted in reduced foot traffic and sales.
Retailers have responded to this trend by implementing strategies such as price-matching guarantees and providing personalized promotions to incentivize shoppers to make purchases in-store. Some retailers have also embraced showrooming by creating mobile apps and enhancing their online presence to provide customers with a seamless shopping experience across channels.
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The exact percentage of shoppers who use their smartphones while shopping is difficult to determine due to the nature of the study.
However, recent studies have suggested that a significant proportion of shoppers are now using their smartphones while shopping.
For example, a survey conducted by the National Retail Federation in 2019 found that 45% of shoppers reported using their smartphones while in stores. Furthermore, a study by Accenture in 2020 found that 60% of shoppers used their smartphones to compare prices.
Overall, it is clear that the use of smartphones while shopping has increased significantly in recent years. However, the exact percentage of shoppers who use their smartphones while shopping is still uncertain due to the fact that the studies used different methodologies and the results may not be representative of the entire population.
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a company wants to accumulate a sum of money to repay certain debts due in the future. the company will make annual deposits of $125,000 into a special bank account at the end of each of 10 years. assuming the bank account pays 7% interest compounded annually, what will be the fund balance after the last payment is made in ten years? note: round your final answers to nearest whole dollar amount.
The fund balance after the last payment is made in ten years will be approximately $2,105,281.
To calculate this, we can use the formula for the future value of an annuity:
FV = PMT x ((1 + r)^n - 1) / r
where FV is the future value of the annuity, PMT is the annual payment, r is the annual interest rate, and n is the number of years.
Plugging in the given values, we get:
FV = $125,000 x ((1 + 0.07)^10 - 1) / 0.07
FV = $1,268,026.53
This is the total amount that will be deposited into the account over the 10-year period. To calculate the final balance after 10 years of earning interest at a rate of 7% compounded annually, we can simply calculate the future value of this amount:
Final Balance = $1,268,026.53 x (1 + 0.07)^10
Final Balance = $2,105,281.43 (rounded to the nearest whole dollar)
Therefore, the fund balance after the last payment is made in ten years will be approximately $2,105,281.
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