An investment of $165,000 yields a net annual income of $45,000 for 5 years with no salvage value. If the study period is 7 years, and MARR 10%, what is the future worth of this alternative at EOY 7 assuming that cash-flows will be reinvested at MARR until the end of the study period?

Q: E12.10 (b)

A: Total issued and outstanding shares = 95000+25000+2000 = 122,000 shares Dividend declared on dec. 15…

Q: How is ARR calculated?

A: ARR: Accounting Rate of Return (ARR) is the rate of return earned on the investment made in a…

Q: Explain the Rule of 72.

A: In investment and saving management, the doubling period techniques provide the valuation of the…

Q: can you also explain what part is a. b. and c. please

A: A budget is an estimate of amount which is prepared by the management for various planning and…

Q: THE SMITH COMPANY Using the business transactions below, complete T-accounts for the Smith Company.…

A: T Accounts    1. Cash Account Particular Debit Particular Credit         To capital A/c…

Q: What is Glass-Steagall Act?

A: Glass-Steagall Act splits up the investment and commercial banking segments of an investment bank.

Q: 8. If money is worth (.06, m = 4), find the present value of a perpetuity $1000, paid semi-annually,…

A: Present value of perpetuity is the value of an asset whose cash flow is received forever.

Q: Please answer sections d), e) and f)

A: Debt Management Ratios are financial metrics that provide insights into a company's ability to…

Q: 321,818 is incorrect. What is the correct answer?

A: Revenue: We consider unit sales and price per unit to determine total revenue.Variable Costs: Based…

Q: 1,352,113.13 is incorrect. What is the correct answer?

A: Net Present Value is used to evaluate the investment and financing decisions that involve cash flows…

Q: spatial distances

A: Spatial distance is actually the length of the path or straight line distance between two points. In…

Q: What is the answer to part b? Is it -1245? Is the sign negative or positive?

A: The inventory valuation includes two methods named as FIFO (First in First Out) and LIFO (Last in…

Q: What is the after announcment?  This is from question a.

A: Debt Value = $2,700,000Current Debt-to-equity ratio = 30%Increased Debt-to-equity ratio = 50%EBIT =…

Q: If

A: n(A) = 150n (B) = 150 (A ∪ B) = 210

Q: How about the Question 3

A: The present value of growth opportunity is defined as the value of stock attributed to the earnings…

Q: Flint Corporation issued 1,900 shares of stock.

A: A Journal entry is a primary entry that records the financial transactions initially. The…

Q: Windhoek Mines, Limited, of Namibia, is contemplating the purchase of equipment to exploit a mineral…

A: NET PRESENT VALUE Net Present Value is one of the Important Capital Budgeting Technique.  Net…

Q: Explanation 1031 like-kind exchange

A:

Q: How about the second question?

A: As per the accounting standard- the effects of changes in foreign exchange currency, income and…

Q: What is AAA (Section 1368(e))

A: The S corporation is a corporation that chooses to pass all income, losses, deductions, and all…

Q: What is Break Even Point?

A: BEP is called as break even point. Formula: Break even point = Fixed cost / Contribution per unit

Q: 7. How would you define transaction exposure? How is it different from economic exposure?

A: Exposure refers to the degree to which an individual or entity is subject to a particular risk or…

Q: the correct answer is 12.5

A: When a company goes public, it issues stocks to investors in exchange for capital. The investor who…

Q: The answer is somewhat close. The right answer is 1.5337 Please clarify

A: Stock price is $50 Strike price is $52 Risk free rate is 1% Time period is 3 months To Find: Value…

Q: E14.3 (b)

A: The cash flow statement is helpful for the stakeholders as they can identify the organization's…

Q: how this 0.625 comes ?

A: Coupon bond comes with semiannual coupons at a certain rate.  This is the amount of cash received in…

Q: (Expected rate of return and risk​)   B. J. Gautney Enterprises is evaluating a security. ​ One-year…

A: Standard deviation is a variation in the mean value of given data. Standard deviation is a…

Q: how did you calculated ''Initial withholding' pls?

A: Payroll taxes are defined as the amounts collected by the government or revenue collection authority…

Q: as fortuitous event? J

A: The pandemic issue has caused in an increase in breach of contract processes worldwide,…

Q: How about the last question?

A: Here,Operating Cash Flow is $63,745Cash Flow to Creditors is $22,100Cash Flow to Stock Holders is…

Q: I need professional answer: What is the difference between a ABS and an ABS CDO?

A: Asset-backed securities (ABS) and asset-backed security collateralized debt obligations (ABS CDOs)…

Q: What is the principle behind the Sharpe measure?

A: Shape Ratio: It is known as the Sharpe ratio, this indicator measures how well a financial portfolio…

Q: ou put 491-28 why is it 28 and not - 175?? Can you explain that please?

A: Most of the credit card companies compute their finance charges based on average daily balance.…

Q: Jarett & Sons' common stock currently trades at $21.00 a share. It is expected to pay an annual…

A: D1 = $1 Current stock price (P0) = $21 Growth rate (g) = 7% Floatation cost (f) = 13%

Q: 4. What is sensitivity analysis?

A: What Is Sensitivity Analysis?

Q: What are the origins of the Sharpe measure?

A: Shape Measure: In a dataset, measures of shape explain the distribution (or pattern) of the data in…

Q: Musashi and Rina are building their portfolios. Musashi purchases shares in a mutual fund and pays…

A: Stock market is a place where the sellers and buyers of stocks exchange money. Stock portfolio is…

Q: Why is a policy statement important?

A: A policy statement or an investment policy statement is a document created by the investment…

Q: Determining current portion of long-term note payable On January 1, Irving Company purchased…

A: “Hey, since there are multiple questions posted, we will answer first question. If you want any…

Q: it say 43,636.36 is incorrect

A: Here,Annual Incremental Cahs Inflows is $16,500Time Period is 3 yearsInterest Rate is 10%Note: As…

Q: a. What is the Benefit-Cost ratio for "Proposal 1?" [Select] b. Based on a Benefit-Cost analysis,…

A: Benefit cost ratio is an important metric when we look at analyzing and determining the financial…

Q: Define OEM and EOM? Give three differences between them?

A: Original Equipment Manufacturer (OEM):An original equipment manufacturer is referred to as a company…

Market Efficiency

Market efficiency refers to the market's ability to provide investors with all available information about investment options for buying and selling securities. Market efficiency reflects the true value of securities without undervaluing or overvaluing them. When the quality and quantity of information increase, the market becomes more efficient, allowing it to reduce arbitrage and obtain higher market returns from investment. In a well-functioning market, everyone receives all information completely and immediately at no cost. It opens up a plethora of opportunities for investors to access various investment options.