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rodikova [14]
1 year ago
14

The New American Enterprise Mutual Fund's portfolio is valued at $60 million. The fund has liabilities of $2 million, and the in

vestment company sponsoring the fund has issued 2,900,000 shares. What is the fund's net asset value
Business
1 answer:
Vanyuwa [196]1 year ago
8 0

Answer:

$30.40

Explanation:

($40 million − $2 million) / 1.25 million shares = $30.40

You might be interested in
The amount due on the maturity date of a $10,900, 60-day 6%, note receivable is: (Use 360 days a year.)
Marysya12 [62]

Answer:

$11,009

Explanation:

Calculation to determine The amount due on the maturity date

Amount due =10900 x .06 x 1/6 = $109 + $ 10900

Amount due=$11,009

Therefore The amount due on the maturity date is $11,009

5 0
2 years ago
Henrietta, the owner of a very successful hotel chain in the Southeast, is exploring the possibility of expanding the chain into
klio [65]

Answer:

Total deduction for the year = $48,956

Explanation:

You can deduct investigation expenses but only for new business that is in the same industry as your current business. In this case, Henrietta incurred in $42,500 expenses trying to expand her hotel business. Total deduction for the current year = $42,500.

If the investigation expenses are not related to your current business, e.g. restaurants, then you can capitalize the costs and amortize them only if you actually carried out the expansion.

You can deduct up to $5,000 during the first year but this amount decreases by $1 for every dollar above $50,000. Total immediate deduction = $4,400. The remaining $46,200 must be amortized over 180 months. Amortization per month = $46,200 / 180 = $257

Total amortization for year 1 = 8 months x $257 = $2,056

Total deduction for the year = $42,500 + $4,400 + $2,056 = $48,956

7 0
3 years ago
Since retained earnings are generated by the firm:
Damm [24]

Answer:

The correct option is C,the funds have a positive cost that is less than new equity issues.

Explanation:

Retained earnings have costs attached to it because the common stockholders expect that the company would use its retained earnings effectively such that is able to pay dividends at  year or in such a way that the company's stock share price appreciates(capital gains yield)

However, the cost of retained earnings is lower when compared with new equity issues since the new issue would require issue costs such as regulatory fees as well as underwriter's commission.

7 0
3 years ago
Al can make 10 chocolate and 5 candies a year and Betty can make 30 chocolate and 10 candies a year.
Aleonysh [2.5K]

Answer:

1. Betty ; 2. Betty ; 3. Candies

Explanation:

Absolute Advantage is when one can produce more output of a good per unit of input , comparatively than other .

Comparative Advantage is when one can produce a good's output by comparatively lesser opportunity cost (other good sacrifised) than other .

AI : Chocolates = 10 , Candies = 5

Betty : Chocolates = 30 , Candies = 10

As it can be seen : Betty can produce both of more - chocolates (30) & candies(10) than AI (10,5) . So, it has Absolute Advantage in both - Candies & Chocolates.

However, AI is twice more productive in chocolates than toffees (10,5) ; but Betty is thrice more productive in chocolates than toffees (30,10). Comparatively, Betty is more productive in Chocolates. So opportunity cost of Chocolate in terms of sacrifised toffees is less for Betty 0.33 (10/30) than AI 0.5 (5/10).

So, trade between them would be : Betty selling its comparative advantage good Chocolate , AI selling its less comparative disadvantage good Candies.

6 0
2 years ago
Two car rental companies have different rental plans. Sand's Car Rental charges $50 a day and 10 cents every mile traveled. Beac
notka56 [123]
The equation that solves the problem above is:
50x+30=60x
10x=30
x=3 day

Final answer: A. 3 days
4 0
2 years ago
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