A stock sells for $20 per share. You purchase 50 shares for $20 a share, and after a year the price rises to $27.50. What would be the percentage rate of return on your investment if you bought the stock on margin and the margin requirement was 50%? Ignoring commissions, interest expenses, etc.
Q: I want correct answer
A: Explanation of LIFO (Last-In-First-Out): This is a cost flow assumption method used in inventory…
Q: Need Help of this Question please provide
A: Final Results:Average Stockholders' Equity: $352,000Return on Equity (ROE): 18.75%
Q: Please solve the problem
A: Step 1: Calculation of price per guestBase admission is $30.Wave pool access adds 40% of the base,…
Q: 2.7
A: A company's assets are classified into fixed assets and current assets and the asset turnover ratio…
Q: P11.2 (LO 1, 2, 4) Excel (Accounting for Patents) Fields Laboratories holds a valuable patent (No.…
A:
Q: Determine OPERATING LEVERAGE
A: To determine Bengal Co.'s operating leverage, we use the formula: Operating Leverage = Contribution…
Q: I want right answer
A: Explanation of Stewardship Accounting:Stewardship accounting is a method of accounting that focuses…
Q: What is the PE ratio on these general accounting question?
A: Step 1: Define Price-Earnings RatioThe price-earnings ratio is useful for determining the valuation…
Q: How does replacement cost depreciation differ from historical cost methods? a) Uses longer life…
A: Option a: This option is incorrect because the asset's useful life is determined independently of…
Q: Do fast answer of this accounting questions solution
A: Step 1:Define Raw MaterialThe cost of raw material refers to the inventory required to manufacture…
Q: General Accounting
A: Case InformationStarted in process: 5,000 unitsFinished units: 3,000 unitsEnding WIP: 2,000 units,…
Q: Futures are available on theee month solution general accounting
A: Step 1: Define GainIn the economics concept, the gain is described as an increase in the asset or…
Q: please solve it. NOTE: General Account
A: Applying the lower of cost or market rule to report the product:- Given: Cost = $18 Replacement cost…
Q: SHJ
A: Step 1: Calculate the per share preferred dividend as follows:Per share dividend = Percentage * Per…
Q: If iphone,inc,has an equity solve this question general accounting
A: Step 1: Define DuPont ROE DecompositionThe DuPont identity breaks down ROE of a firm into various…
Q: Media, inc., an advertising agency , applies solve question general accounting
A: Step 1: Compute the predetermined overhead rate by dividing the estimated overhead by the estimated…
Q: Count variable costing?
A: Step 1: Understand Variable CostingUnder variable costing:Only variable production costs are…
Q: What is the gross profit?
A: Net Sales: Subtract sales returns, allowances, and discounts from gross sales to get the net sales,…
Q: I need answer of this question solution general accounting
A: (a) Receivables TurnoverStep 1: Calculate Average Accounts Receivable • Average Accounts Receivable…
Q: I need general accounting question solved
A: Step 1: Define Income SummaryAn income summary is a temporary account that is created by the company…
Q: Sales for the year were $400,000 General accounting
A: Step 1: Define Average Collection PeriodThe firm can sell its goods and provides services on credit…
Q: P11.3 (LO 1, 2, 4) (Accounting for Franchise, Patents, and Trademark) Information concern- ing…
A: To solve the given problem, here's the step-by-step explanation of the process for calculating…
Q: CALCULATE ROI
A: Explanation of Return on Investment (ROI): ROI is a performance measure used to evaluate the…
Q: Hugs, inc.provided the following solve this question solution general accounting
A: Step 1: Define Return on assetReturn on total assets is a percentage term used to measure the profit…
Q: Iguana, Incorporated, manufactures bamboo picture frames that sell for $30 each. Each frame requires…
A:
Q: On June 1st, Lucy & Bros received an order for 500 cupcakes. Lucy delivered the cupcakes to the…
A: The revenue recognition principle in accounting states that revenue should be recognized and…
Q: Need help with this general accounting question
A: Step 1: Define Capital GainWhen a capital asset is sold by its owner at its market value that is…
Q: Financial Accounting
A: Step 1: Define Interest on Note PayableThe terms of a note payable typically include details of the…
Q: Given answer accounting questions
A: We knowOperating cash flow = Cash flow from assets + Change in net fixed assets + Net change in…
Q: Hi expert please give me answer general accounting
A: Step 1: Determine the full capacity salesSince the company is operating at 94% of its fixed asset…
Q: Please see attachment for details
A: Explanation of Process Operations System: This is a manufacturing system where products move through…
Q: Suppose you purchase solution this question general accounting
A: a) Quoted Discount Yield a) Quoted Discount Yield:The quoted discount yield is calculated using…
Q: What is the net income of this general accounting question?
A: Step 1: Calculation of total salesTotal sales = Number of units × Selling PriceTotal sales = 2,000 ×…
Q: Provide correct answer the accounting question
A: Step 1: Define ProfitThe profit is the remaining amount after all costs have been accounted for.…
Q: need correct option
A: Step 1: Determine Gross IncomeErimma's gross income includes:Wages from Union Job: $75,000Qualifying…
Q: What is the interest tax shield on these financial accounting question?
A: Step 1: Define Interest Tax ShieldThe interest tax shield refers to a tax saving by deducting total…
Q: Capaldo Music Center has five CD players on hand at the balance sheet date that cost $400 each. The…
A: Step 1: IntroductionUnder the lower-of-cost-or-market (LCM) rule, inventory is reported on the…
Q: give me step by step solution
A: Net Income = Sales * Profit MarginNet Income = 25,400,000*7.2%Net Income = $1,828,800 Return on…
Q: Mr. King is employed as a plumber by MBV Services. This year, Mr. King paid a $225 fee to renew his…
A: Step 1: Total Job-Related ExpensesMr. King incurred the following expenses:Fee for plumber's…
Q: I don't need ai answer
A: We have given, Net income (2013) : $300,000Percentage of increase : 24.5% We know formula of %…
Q: Solve with explanation accounting
A: Step 1: Define Manufacturing CostThe total manufacturing cost of a product can be divided into two…
Q: Paxton company can produce a component of its product solve this question accounting
A: Step 1: Define Make-or-Buy DecisionsMake-or-buy decisions are also called outsourcing decisions and…
Q: Hi expert please give me answer general accounting not use chart gpt
A: Step 1: Define Activity-Based CostingActivity-based costing (ABC) is significant in most big…
Q: What characterizes the accounting for subscription returns in publishing companies?
A: Option a: This option is incorrect because regular sales returns is not a unique characteristic of…
Q: Can you please answer the general accounting question?
A: Step 1: Define Savings AccountA savings account is a basic bank account that can be opened with a…
Q: 25 help
A: Cash, accounts receivable, inventory, prepaid rent, and investment in equity securities (short term)…
Q: Provide answer the following requirements on these accounting question
A: Step 1: Define ROA and ROEReturn on asset (ROA) and return on equity (ROE) are two measures of a…
Q: What is the actual net operating income on these general accounting question?
A: Step 1: Define Degree of Operating LeverageThe degree of operating leverage represents the…
Q: I don't need ai answer
A: Explanation of ViolationsViolations refer to the breaches of laws, regulations, or ethical standards…
Q: Pablo Management has three employees, each of whom earns $175 per day. They are paid on Fridays for…
A: Pablo Management needs to account for the wages incurred on December 31, even though employees will…
Financial accounting
Step by step
Solved in 2 steps
- Suppose you bought XYZ stock 1 year ago for $6.54 per share and sell it at $2.79. You also pay a commission of $0.35 per share on your sale. What is the total return on your investment? The total return is %?You buy a share of stock for $100 and it pays no dividend. A year later the market price is $105. What is the rate of return?Suppose the call money rate is 4.5 percent, and you pay a spread of 2.5 percent over that. You buy 1,200 shares of stock at $48 per share. You put up $37,440. One year later, the stock is selling for $60 per share and you close out your position. What is your return assuming a dividend of $0.24 per share is paid? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Rate of return %
- You buy a share of stock for $100 and a year later the market price is $105 and it pays a dividend of $2. What is the return?You purchase 100 shares of stock for $40 a share. The stock pays a $2 per share dividend at year-end. What is the rate of return on your investment if the year-end stock prices turn out to be $38, $40, and $42? What is your real (inflation-adjusted) rate of return in each case, assuming an inflation rate of 3%? Show all of your working. Do no use Excel.2. Answer both questions: a. You purchase 100 shares of stock for $40 a share. The stock pays a $2 per share dividend at year-end. What is the rate of return on your investment if the year-end stock prices turn out to be $38, $40, and $42? What is your real (inflation-adjusted) rate of return in each case, assuming an inflation rate of 3%? b. Consider the following information on the returns on stock and bond investment. Scenario Profitability Stocks Bonds Recession .2 -5% +14% Normal Economy .6 +15% +8% Boom .2 +25% +4% i) Calculate the expected rate of return and standard deviation in each investment. ii) Do your results support or contradict the historical record on the relationship between risk and return in the financial market in both Canada and the United States? iii) Which investment would you prefer? Explain your answer.
- Suppose you bought a stock for $18.6 per share and you sold it for $41.9 after 2 years. The stock did not pay any dividends. What was your compound average monthly return from this investment? Answer in percent, rounded to two decimal places. Type your numeric answer and submitYou opened a margin account with borrowing $50,000 from your broker a year ago. Your account started at the initial margin requirement of 50%. With the margin account you bought ABC stock at $50 per share. The maintenance margin is 35%. Today, the stock price falls to $45 per share. Assume interest rate is 10%. What is the margin (your equity) in your account when you first purchase the stock? Will you receive a margin call? (Please consider interest expenses and Show percentage margin after price falls) How low can the price of ABC shares fall before you receive a margin call? Please show both with and without interest expenses. What is your rate of return (Consider Interest Expenses)?You expect a share of EconNews.Com to sell for $65 a year from now. If you are willing to pay $65.74 for one share of the stock today, and you assume the share is riskless but require a return of 8 percent, what dividend payment must you expect to receive from the stock?
- Suppose the current price of a stock is $50 per share. You expected to earn a 10% return on the stock if you buy it at the current market price and hold it for one year (right after you receive the dividend for the year). The stock is expected to pay a dividend of $2.5 per share, what do you expect the stock price to be one year from now? • Suppose the current price of a stock is $50 per share. You expected to earn a 10% return on the stock if you buy it at the current market price and hold it for one year (right after you receive the dividend for the year). The stock one year from now is expected to be $53, how much dividend do you expect to receive during the year .You have just purchased a share of stock for $20.29.The company is expected to pay a dividend of $0.52 per share in exactly one year. If you want to earn a 9.1% return on your investment, what price do you need if you expect to sell the share immediately after it pays the dividend? The price one year from now should be $_______.(Round to the nearest cent.)Suppose you are thinking of purchasing the SunStar’s common stock today. If you expect SunStar to pay $0.80 dividend at the end of year one and $1.6 dividend at the end of year two and you believe that you can sell the stock for $15 at that time. If you required return on this investment is 10%, how much will you be willing to pay for the stock? a. $13.95 b. $14.44 c. 14.19 d. $15.51