Answer:
A. $405 million
B. $332 million
Explanation:
A. Calculation for How much was Carter's net income for 2016
Using this formula
2016 Net income=Sales revenue - Cost of goods sold - Other expenses
Let plug in the formula
2016 Net income= $900 million - $270 million - $225 million
2016 Net income = $405 million
Therefore How much was Carter's net income for 2016 is $405 million
B. Calculation for How much was Carter's cash balance at the end of 2016
Using this formula
2016 Ending cash balance =Beginning balance + Cash receipts - Payments
Let plug in the formula
2016 Ending cash balance=$ 110 millon + $872 million- $375million - $275million
2016 Ending cash balance= $332million
How much was Carter's cash balance at the end of 2016 is $332million
<span>Year Cash Flow
0 -$46,400
1 18,000
2 33,530
3 4,600</span>
<span>NPV = -$46,400 + $18,000 / (1 + 0.09) + $33,530 / (1 + 0.09)2 + $4,600 / (1 + 0.09)3 =
</span><span>-$1,574.41</span>
Answer:
c. less interested in paying a premium for fair trade
Explanation:
Indeed, in this case, according to Debra, who serves as the vice president of Theo Chocolate, one of the results of offering simpler products is that people find it less interesting to pay a premium for fair trade.
Answer:
$883,74
Explanation:
The amount that would result after 4 years is called the Future Value (FV). this is calculated using Time Value of Money Techniques.
Using a Financial Calculator, this will be calculated as follows :
PV = $700
N = 4
I = 6%
PMT = 0
P/YR = 1
FV = ?
Entering the values as shown gives a Future Value (FV) of $883,74.