1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
aliina [53]
4 years ago
7

Your bank account pays an interest rate of 8 percent. You are considering buying a share of stock in XYZ Corporation for $110. A

fter 1, 2, and 3 years, it will pay a dividend of $5. You expect to sell the stock after 3 years for $120. Is XYZ a good investment
Business
1 answer:
Vitek1552 [10]4 years ago
8 0

Answer:

XYZ is not a good investment as compared to Bank because it has lower per year interest than the bank.

Explanation:

Bank offers 8% per year

To compare the investment we should calculate the holding period return of the share which is as follows

Holding period return = ( Dividend + Change in price ) / Initial price )

Holding period return =  ( $5 +($120 - 110) ) / $110 ) = ( $5 + $10 ) / $110 = 0.1364 =  13.64%

Return per year = 13.64% / 3 = 4.5% per year

You might be interested in
Here is a series of addresses in hexadecimal: 20, 3c, 10, 16, 20, 04, 28, 60, 10, 17 assume a lru replacement algorithm. for the
sp2606 [1]
<span>If there is a series of addresses in hexadecimal: 20, 3c, 10, 16, 20, 04, 28, 60, 10, 17 and it is assumed that an LRU replacement algorithm, then in order to solve the problem is to keep in mind that the two addresses included and be in the same set.</span>
7 0
3 years ago
Which 3 transactions in QuickBooks Online are reflected in the Accounts Payable Aging Detail report?
Wewaii [24]

Answer:

a. Bill

c. Vendor Credits

d. Bill Payments

Explanation:

QuickBooks Online is an accounting software that has millions of users most of whom are medium and small time businesses. It is very useful in ensuring that the needs of even novices in accounting are taken care of.

In the Accounts Payable Aging detail report, QuickBooks online includes Bills which gives a list of vendors purchased from. It includes Vendor credits which shows the vendors owed and the payment terms of the debt and Bill payments which show the history of payments both owed and already made to certain vendors.

6 0
3 years ago
Describe an important trade-off you recently faced.
Vitek1552 [10]

Answer:

Trade-off means that if we want to buy an economic good (anything that has monetary value) then we will demand an economic good (anything that has a monetary value). So this means if I want to buy chocolates then I will have to pay the shopkeeper money. Anything that you buy has a monetary value and we have to compensate seller for that. That's trade-off.

Suppose a situation that you have an opportunity to see bill gates in a show whose ticket has cost you $500 and if you have decided that you have to go somewhere else due to emergency then the loss will be $500 and meeting bill gates live. However his advice to young generation can be seen on social networks but what you lost is cost of seeing bill gates which you paid $500 and not attending the show to meet him.

My parents offered me chocolates to do homework because I was not interested in studies. My father used to read books in front of me to imitate me to read books and develop book reading habits.

6 0
3 years ago
Suppose you have a 1-year horizon and purchase a 5-year (annual) coupon bond. If the price of the bond on the horizon date is th
Anni [7]

Answer:

the bond's current yield.

Explanation:

When the price of the bond is equal to the initial price paid for the bond, the current yield rate of the bond is equal to the ROR of the bond. If there is the market price of the bond is the same as the initial issuance value of the bond the investors of the bond do not gain or lose anything from this bond from the change in price in the time period between the issuance of the bond and Purchasing date of the bond.

Current Yield = Annual Coupon payment / Market price of the bond

The bond yield will remain the same when the selling price of the bond and the issuance price of the bond remain the same. As the coupon payment is fixed every time.

4 0
3 years ago
what group sold its time warner stock following the ice-t body count cd release? group of answer choices nea madonna philadelphi
ch4aika [34]

Following the release of the ice-t body count CD, the Philadelphia Municipal Pension Fund Group sold its Time Warner stock.

General Information About Philadelphia Municipal Retirement System Description

Located in Philadelphia, Pennsylvania, the Philadelphia Municipal Retirement System is a public pension fund. Through the management of 18 distinct plans created from 1915 to the present, it provides benefits to police, fire, and civilian employees of the City of Philadelphia. The Board of Pensions and Retirement is responsible for administering it.

With the help of a cutting-edge and effective retirement system, the City of Philadelphia caters to this requirement of its employees. In addition to the Social Security and retirement systems that cover all officers and employees, this scheme gives you, the professional City employee, a monthly retirement income for life.

to know more about Philadelphia Municipal Pension Fund

brainly.com/question/28013095

#SPJ4

4 0
2 years ago
Other questions:
  • How much taxes you pay on a 100k salary in new york state?
    13·1 answer
  • Your boss, Kerry Miller, has asked you to analyze the soft drink industry using Porter's five forces model. Which of the followi
    9·1 answer
  • In the first half of 2011, automobile sales in the United States were lower than they were in the first half of 2010. The decrea
    9·1 answer
  • Which of the following is an example of capital outflow for Germany?a. German company Haribo sells a production facility in Irel
    11·1 answer
  • Troy Enterprises uses a continuous review inventory control system. The firm operates 50 weeks per year, with an annual demand o
    6·1 answer
  • How does NAFTA's elimination of 20% of Mexican tariffs on U.S. cars affect the United States?
    12·1 answer
  • An investor who purchases stock in a closely held corporation with a small number of outstanding shares should be MOST concerned
    15·1 answer
  • What do many economists blame for the severity of the great depression?
    10·1 answer
  • Northwest Fur Co. started 2021 with $95,000 of merchandise inventory on hand. During 2021, $440,000 in merchandise was purchased
    14·1 answer
  • Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2020. As of that date, Abernethy has the followin
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!