When solving a present value equation using a financial calculator, the years for compounding should be entered as the n value on the financial calculator.
This n value from the question tells us is the number of years for compounding. That is also known as the number of periods.
If what the person is calculating is the loan values, then n has to be calculated based on the number of payments.
For example if a person wants to calculate a 12 year loan that that is to be paid monthly,
n would be 12*12 = 144
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The answer is b
Overhead are the factory cost which include fixed overhead and variable overhead
Answer:
c. The price of the call option will increase by less than $2, but the percentage increase in price will be more than 10%
The delta of an option is always less than 1 hence a $1 increase in underlying stock can never be equivalent or more than $1 similarly in this case a $2 rise can never have $2 or more than $2 increase in call option price, yes but the growth in option price can be more than 10%
Answer:
unrealised profit on unsold stock with james corporation = $30000
so correct option is b. $30,000
Explanation:
owns = 80 %
sold = $250,000
inventory = 40 %
Gross profit = 20 %
Gross profit = 30 %
amount of intra entity gross profit
solution
unsold stock with james corporation are = 40 % of $250000
unsold stock with james corporation = $100,000
and
unrealised profit on unsold stock with james corporation is in consolidated statement is = unsold stock with james corporation × profit rate i.e 30%
unrealised profit on unsold stock with james corporation = $100000 × 30%
unrealised profit on unsold stock with james corporation = $30000
so correct option is b. $30,000
