Answer:
Option (a) is correct.
Explanation:
Contribution margin per marketing plan = Sales - Variable cost
= $3,000 - $2,000
= $1,000
A.
(1) 
Break even in marketing plan = 400
(2) Break-even in dollars:
= Break-even in marketing plan × Average rate per plan
= 400 × 3,000
= 1,200,000
(3) Margin of safety = Actual sales - Break-even sales in dollars
= 1,500,000 - 1,200,000
= 300,000
= 20%
B.
(1) Contribution margin per marketing plan = Sales - Variable cost
= $4,000 - $2,000
= $2,000
Break even in marketing plan = 200
(2) Break-even in dollars:
= Break-even in marketing plan × Average rate per plan
= 200 × 4,000
= 800,000
(3) Margin of safety = Actual sales - Break-even sales in dollars
= 1,500,000 - 800,000
= 700,000
= 47%
Therefore, option (a) would achieve the margin of safety ratio more than 45%.
Answer: The correct answer is "universal".
Explanation: In a <u>universal</u> banking system, commercial banks engage in securities underwriting, but separate subsidiaries conduct the different activities. Also, banking and insurance are not typically undertaken together in this system.
It is the most common type of banking system and is the most commonly used.
Answer:
$441,495
Explanation:
Since the information is incomplete, I looked for the missing part and found the attached information.
the current yield of a 1.5 years zero coupon bond = (100 / 89.9)¹/¹°⁵ - 1 = 0.0736 = 7.36%
the current yield of a 6 months zero coupon bond = (100 / 97.087)¹/⁰°⁵ - 1 = 0.0609 = 6.09%
now to calculate the future interest rate:
(1.0736²/1.0609) - 1 = 0.0865 = 8.65%
since we are told to determine the price of the bond:
(100/P)¹/¹°⁵ - 1 = 0.0865
(100/P)¹/¹°⁵ = 1.0865
100/P = 1.0865¹°⁵
100/P = 1.1325
100/1.1325 = P
P = 88.299
the expected price of the bond = 88.299% x $500,000 = $441,495
You've started using the sq3r method of learning. after surveying a reading assignment, you go to the next step, <span>Reading the headings and turning them into question.</span>
Answer:
Instructions are listed below.
Explanation:
Giving the following information:
A lottery ticket states that you will receive $250 every year for the next ten years.
A) i=0.06 ordinary annuity
PV= FV/(1+i)^n
FV= {A*[(1+i)^n-1]}/i
A= annual payment
FV= {250*[(1.06^10)-1]}/0.06= $3,295.20
PV= 3,295.20/1.06^10=1,840.02
B) i=0.06 annuity due (beginning of the year)
FV= 3,295.20 + [(250*1.06^10)-1]= $3492.91
PV= 3492.91/1.06^10= $1,950.42
C) The interest gets compounded for one more period in an annuity due.
