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1 year ago

What is money used by a business for a certain venture or initiative

1 answer:

7 0

A business will employ seed capital to fund a specific project or activity. It is the capital raised to start working on a new product or business idea.

<h3>What kind of capital is invested in a business?</h3>

The money a company has on hand to cover both its ongoing expenses and potential future expansion is known as capital. Working capital, debt, equity, and trade capital are the four main types of financial resources.

<h3>What kind of business venture capital is that?</h3>

Venture Capital (VC) is a term used to describe funding given by investors to start-up or small businesses that have a high potential for growth. A venture capital fund is a type of private equity funded by institutional and private investors, including investment banks, insurance providers, and pension funds.

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On March 3, Cobra Inc. purchased a desk for $330 on account. On March 22, Cobra purchased another desk for $460 also on account,

Olin [163]

Answer:

Cobra Inc.

The amount that Cobra should report for desks is $790.

Explanation:

a) Data and Calculations:

Purchases on March 3 = $330

Purchases on March 22 = $460

Payment on March 24 = ($460)

Amount unpaid = $330

b) The amount that Cobra Inc. should report as Accounts Payable at the end of March is $330. However, in reporting for the desks, it should report $790 in assets. This amount represents the value of desks that the company is possessing, which is financed by company cash and creditors.

4 0

3 years ago

With negotiated transfer pricing, what is the minimum transfer price if operating at capacity? What is the minimum transfer pric

dezoksy [38]

Answer:

Minimum transfer price when operating at capacity is the marginal cost + opportunity cost

Maximum transfer price is marginal cost only, when not operating at capacity.

Explanation:

Minimum transfer price when operating at capacity is the marginal cost + opportunity cost because when operating at capacity there are 2 elements involved - the cost at which it has made the units it will be transferring to another department within the organisation, and the profit it would have made if it had sold those units to others (opportunity cost)

Maximum transfer price is marginal cost only, when not operating at capacity because the department is constrained, it can only produce for the satisfaction of internal demand, not external customers; hence there is no case of opportunity costs.

8 0

3 years ago

An investor owns 5,000 shares of IBM stock, $105 per share. He thinks that there is no large rise and possible drop in price. Th

lutik1710 [3]

Answer:

If IBM stock price rises from $105 to $112, the profit associated with the passive strategy is $ 35,000 and the profit associated with the covered call writing strategy is $ 45,000 .

Explanation:

Shares = 5000

Price of shares = $105

Sell Price = $112

The profit associated with the passive strategy = $(112 - 105) × 5000

= $ 35,000

Now with covered call also included in the strategy the profit/loss from covered call can be calculated as

Strike Price = $110

Spot Price = $112

Total Shares on which Call options are sold = 50 × 100 = $5000

Total Premium received = 5000 × 4 = $20000

(Spot Price - Strike Price ) × Total Shares

= $(112 - 110) × 5000

= $10,000

Hence Net Profit = Premium received - $10,000 = $20,000 - $10,000

= $ 10000

Hence the profit associated with the covered call writing strategy

= $35,000 + $10,000

= $ 45,000

5 0

3 years ago

A regional trucking company landed a contract to supply products for a major retailer. To do this, it needs to hire an IT profes

Zigmanuir [339]

Answer: • set up the computer hardware for the database.

• Set up the computer software for the database.

• train designated employees to use the database

• protect the confidentiality of the database

Explanation:

The options include:

a. Set up the computer hardware for the database

b. Set up the computer software for the database

c. train designated employees to use the database

d. Design a help page to show people how to use the database

e. protect the confidentiality of the database

Since the new hire is an IT professional who is employed to create a shipment database, the individual should be able to:

• set up the computer hardware for the database.

• Set up the computer software for the database.

• train designated employees to use the database

• protect the confidentiality of the database

7 0

3 years ago

in 1998 fischer corp issued bonds with an 8 percent coupon rate and a 1000 face value. the bonds mature on marc 1, 2023. if an i

ArbitrLikvidat [17]

Answer:

approximate YTM = 7.48%

Explanation:

the approximate yield to maturity = {coupon + [(face value - market value)/n]} / [(face value + market value)/2]

approximate YTM = {$80 + [($1,000 - $1,050)/15]} / [($1,000 + $1,050)/2]

approximate YTM = ($80 - $3.33) / $1,025

approximate YTM = $76.67 / $1,025

approximate YTM = 0.0748 ≈ 7.48%

5 0

3 years ago