Problem 14-1 Cumulative Abnormal ReturnsDelta, United, and American Airlines announced purchases of planes on July 18 (7/18),February 12 (2/12), and October 7 (10/7), respectively.DeltaUnitedAmericanMarket CompanyMarket CompanyMarket CompanyDateReturn ReturnDateReturn ReturnDateReturnReturn7/12-.39-.572/8-.88-1.1610/1.59.427/13.00.292/9-.98-1.1610/2.49777/16.921.152/10.49.2610/31.191.197/17-.92-.732/11.692.8310/6.19-2.147/18-2.181.082/12-.39-.2210/7-2.29-.437/19-.93-.572/151.192.4510/8.59.597/20-.98-1.172/1659.5910/9-.39-.207/23.79.422/17-.39-.2510/10.39-.207/24.29.142/18.39.1210/13.00-.19Given the above information, calculate the cumulative abnormal return (CAR) for thesestocks as a group. All of the stocks have a beta of 1 and no other announcements aremade. (A negative answer should be indicated by a minus sign. Leave no cells blank -be certain to enter "O" wherever required. Do not round intermediate calculations andround your answers to 2 decimal places, e.g., 32.16.)Abnormal returns (Ri - RM)Days fromannouncementAverage abnormalDeltaUnitedAmericanSumreturn-4-3-2-101234Cumulativeabnormal return

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Answered: Problem 14-1 Cumulative Abnormal…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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MC algo 20-6 Average Collection Period Silver Eyes, Incorporated, has an average collection period of 23.54 days and its average daily accounts receivable is $351,000. What are the company's annual credit sales assuming 365 days per year? Multiple Choice $8,262 540.00 $6,047153.78 $7306,025.73 $5,442 438.40 $6,349 511.47 k
w/ ル 16 AaBbCcDc AaBbCcDc AABBCC AABBCCC A 1 Normal 1 No Spac... Heading 1 Heading 2 , 三 Paragraph Styles The appropriate ratios for the company. 2018 2017 current ratio = 4.26470 4.82510 acid test ratio = 1.18602 1.43199 %3D days sales uncollected = net profit margin = 8.29954 1.87842 1.26872 gross profit margin debt to equity ratio = = 9.78681 8.15187 0.38634 0.38720 debt ratio = 0.62956 0.63186 equity ratio = 0.37044 0.36814 interest coverage ratio 6.50636 The Plan The Company is considering opening a new store. The directors of the company have contracted op nou an assessment of the financial performance of the company over the two (2) year period 2017 to 2018. Required: 1. Write a report to the Board of Directors on the performance of the company over the two years, highlighting areas of concern. 2. Would you recommend the opening of a new store? X. Ed 27° acer
Exercise 7-7 Percent of accounts receivable method LO P3 Mazie Supply Co. uses the percent of accounts recelvable method. On December 31, it has outstanding accounts recelvable of $60,500, and it estimates that 3% will be uncollectible. Prepare the year-end adjusting entry to record bad debts expense under the assumption that the Allowance for Doubtful Accounts has: (a) a $1,029 credit balance before the adjustment. (b) a $303 debit balance before the adjustment. View transaction list Journal entry worksheet 1 Prepare the year-end adjusting entry to record bad debts expense under the assumption that the Allowance for Doubtful Accounts has a $1,029 credit balance before the adjustment. Note: Enter debits before credits. Transaction General Journal Debit Credit (a) MacBook Air
Question 14 of 15. Net Sales = $145,347 Employee Meals $1,923 Discounts $221 Coupons/Promotions-$988 What is the Gross Sales? O$138.588 O$140,156 O$145.224 O$148 479 Mark for follow up
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%24 %24 %24 %24 %24 %24 %24 %24 decrease answers which should be indicated by a minus sign. Round your "percent" answ LOGIC COMPANY Comparative Income Statement For Years Ended December 31, 2019 and 2020 Increase (Decrease) 2020 2019 Amount Percent Gross sales $000' 0000 0 Sales returns and allowances 000 0 00 Net sales $ 000 Cost of merchandise (goods) sold 0000 Gross profit 24 $000'S Operating expenses: $ 00% 2,200 Depreciation 009 Selling and administrative Research 550 Miscellaneous Total operating expenses 3,810 $ 3,400 Income before interest and taxes 2,190 $ 2,500 Interest expense Income before taxes 1,630 Provision for taxes 640 Net income 066 %$4 1,200 < Prev 4 of 10 here to search 直 0 EM d晶 @
Problem 14-1 Cumulative Abnormal Returns Delta, United, and American Airlines announced purchases of planes on July 18 (7/18), February 12 (2/12), and October 7 (10/7), respectively. Delta United American Date Market Return Company Return Date Market Return Company Return Date Market Return Company Return 7/12 −.38 −.55 2/8 −.87 −1.14 10/1 .58 .43 7/13 .00 .28 2/9 −.97 −1.14 10/2 .48 .75 7/16 .85 1.06 2/10 .48 .27 10/3 1.18 1.18 7/17 −.85 −.68 2/11 .68 2.68 10/6 .18 −1.99 7/18 −2.17 1.07 2/12 −.38 −.23 10/7 −2.28 −.44 7/19 −.92 −.58 2/15 1.18 2.36 10/8 .58 .58 7/20 −.97 −1.14 2/16 .58 .58 10/9 −.38 −.21 7/23 .78 .43 2/17 −.38 −.26 10/10 .38 −.21 7/24 .28 .15 2/18 .38 .13 10/13 .00 −.18 Given the above information, calculate the cumulative abnormal return (CAR) for these stocks as a group. All of the stocks have a beta of 1 and no other announcements are made. (A negative answer should be indicated by a minus sign. Leave no cells blank - be…
Aneesh Bird Cope DeSpears Others Estimated percentage uncollectible Total estimated uncollectibles (a) Customer (b) No. Total (1) $ 23,400 36,100 56,000 35,000 Date Not Yet Due $ 41,518 $36,100 5,100 125,100 94,600 $275,600 $135,800 3% $ 4,074 1-30 $10,600 $12,800 5,500 15,500 Account Titles and Explanation Number of Days Past Due 7% $2,212 31-60 15,000 $31,600 $27,800 $45,400 At December 31, 2021, the unadjusted balance in Allowance for Doubtful Accounts is a credit of $11,500. 61-90 12% $45,400 24% $3,336 $ 10,896 Journalize the following events and transactions in the year 2022. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Over 90 (1) March 1, a $1,100 customer balance originating in 2021 is judged uncollectible. (2) May 1, a check for $1,100 is received from the customer whose account was written off as uncollectible on March 1.…
1. Use the trading data for Friday, October 20 and Friday, October 27 to answer the questions. Discovery Inc. Discovery Inc. October 20 October 27 Last Last Trade Time Trade Time Chg Chg Open Open 52-week High 52-week High 52-week Low 52-week Low Sales in 100s High Low Sales in 100s High Low $38.50 4:00 P.M. ET $1.56 $37.22 $76.19 $22.78 19,700 $40.10 $36.77 $42.00 4:00 P.M. ET $1.50 $42.50 $76.19 $22.78 23,600 $42.50 $42.00
Question 1 of 6View PoliciesCurrent Attempt in ProgressThe following are selected transactions of Kingbird Company. Kingbird sells in large quantities to other companies and also sells itsproduct in a small retail outlet.March 131531-/1 = :Sold merchandise on account to Dodson Company for $10,600, terms 2/10, n/30.Dodson Company returned merchandise with a sales price of $600 to Kingbird.Kingbird collected the amount due from Dodson Company from the March 1 sale.Kingbird sold merchandise for $600 in its retail outlet. The customer used his Kingbird credit card.Kingbird added 2.0% monthly interest to the customer's credit card balance.Prepare journal entries for the transactions above. (Ignore cost of goods sold entries and explanations.) (Credit account titles areautomatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.)
Exercise 7-6 Percent of sales method; write-off LO P3 At year-end (December 31), Chan Company estimates its bad debts as 0.60% of its annual credit sales of $862,000. Chan records Its Bad Debts Expense for that estimate. On the following February 1, Chan decides that the $431 account of P. Park is uncollectible and writes it off as a bad debt. On June 5, Park unexpectedly pays the amount previously written off. Prepare Chan's journal entries for the transactions. View transaction list Journal entry worksheet 1 4. Record the estimated bad debts expense. Note: Enter debits before credits. Date General Journal Debit Credit Dec 31 MacBook Air
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