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1 year ago

what is the bank discount rate on a $100,000 face value t-bill priced at $97,500, maturing in 181 days?

1 answer:

6 0

In this instance, the answer is 4.97%. When Bank discount rate is $100,000.The bank discount rate is calculated as follows: face value - price /face value * 360/days to maturity

the formula for determining the bank rate of return is as follows

When we apply relevant information to the equation, we receive:

Bank discount rate = 100,000 97,500/ 100,000 *360/ 181 = 0.0497 = 4.97

Why is the bank discount generate not a realistic assessment of the refund on holding a Treasury bonds?

Because it is an annual rate rate of return based on the par value of the bills rather than the actual dollar amount of money invested, and it is calculated on a 360-day rather than a 365-day basis, the Discount Yield can be a misleading measure of the return on T-Bills (used for Treasury bonds and notes).

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rabapples, Inc. purchases and sells boxes of dried fruit. The following information summarizes its operating activities for the

pantera1 [17]

Answer:

$40.875

Explanation:

Given that,

Selling Expenses = $ 9,600

Merchandise Inventory on December 31 = 33,000

Merchandise Inventory on January 1 = 47,000

Purchases of merchandise = 83,500

Rent for store = 12,100

Sales commissions = 7,300

Sales revenue = 168,500

Cost of goods sold:

= Beginning merchandise inventory + Merchandise purchase - Ending merchandise inventory

= $47,000 + $83,500 + $33,000

= $163,500

If Crabapples sold 4,000 boxes of dry fruit during the year, then the cost per box of dry fruits is:

= Cost of goods sold ÷ Number of boxes sold

= $163,500 ÷ 4,000

= $40.875

3 0

3 years ago

Definition of a stakeholder

MatroZZZ [7]

1.
(in gambling) an independent party with whom each of those who make a wager deposits the money or counters wagered.
2.
a person with an interest or concern in something, especially a business.

6 0

3 years ago

What will happen to the current ratio if current assets increase, while everything else remains unchanged?

Nana76 [90]

The current ratio will increase if current assets increase, while everything else remains unchanged.

This is further explained below.

<h3>What is the current ratio?</h3>

Generally, A liquidity ratio that evaluates a company's capacity to pay short-term debts or those that are due within the next year is called the current ratio.

It explains to investors and analysts how a business may get the most out of the current assets that are shown on its balance sheet in order to pay off its current debt and any other payables.

A current asset is defined as any asset that a company can reasonably expect to sell, consume, or deplete through the normal operations of the business inside the current financial year or an operating cycle, or an economic year.

In other words, a current asset is an asset that will be sold, consumed, or exhausted.

In conclusion, If current assets continue to grow while everything else stays the same, the current ratio will continue to show an upward trend.