Its b
Explain:
The reason it’s because the government collects taxes which are considered leakages
The legality of a business decision is the minimal standard that must be met.
Answer:
The budgeted cash disbursements for August are $532,000
Explanation:
Amount of cash the company pays for purchases in August:
30% x Materials purchases in July + 70% x Materials purchases in August = 30% x $250,000 + 70% x $420,000 = $369,000
The budgeted cash disbursements for August = Cash paid for purchasing materials + Wages Expense + Purchase of office equipment + Selling and Administrative Expenses = $369,000 + $60,000 + $64,000 + $39,000 = $532,000
Noted: Depreciation is a non-cash accounting expense, so it doesn't involve cash flow
Answer:
a) $921.27
b) $682.18
Explanation:
Data provided in the question:
Annual coupon rate = 4%
Yield to maturity = 7%
Now,
Face value = $1,000
a) For 3-year bond
Price of Bond =
here,
N is the number of periods
for 3 year bond, N = 3
Thus,
Price of Bond =
= $104.97 + $816.30
= $921.27
b) For 20-year bond
Price of Bond =
here,
N is the number of periods
for 20 year bond, N = 20
Thus,
Price of Bond =
= $423.76 + $258.42
= $682.18
Answer:
Option (b) is correct.
Explanation:
Given that:
Spot price for the Japanese yen is ¥129.87/$ i.e 1 yen = 1/129.87 = $0.007700
6- month forward rate is ¥128.53 $i.e
1 yen = $0.00780
Yen will move to ¥128.00/$ in the next six months i.e.
1 yen = 1/128
= $0.007813
Here there is opportunity of profit when he purchase yen at forward rate of:
$0.007800 i.e at ¥128.53/$ and sells at 0.007813 i.e at ¥128.00/$ making a profit of $0.000013 per yen.
Therefore, the correct answer is option B i.e buying yen for ¥128.53/$; selling yen at ¥128.00/$.