Answer:
A. cv = $628998.51
B. cv = $638180.86
Explanation:
Fv = iv * (1 + r)^n
Where fv = final value
Iv = initial value. = 630,000
r = rate = 4.5%
n = time of maturity = 4/12 = 0.3333
So therefore:
Fv = 630000(1 +.045)^0.3333
Fv = $639310.75
a. If rate is reduced to 5%
Current market value = c.f.
Since rise or drop in rate would affect the new value of product if you are to sell
So:
639310.75 = cv( 1 + r )^0.3333
cv = 639310.75 / (1.05)^0.3333
cv = 628998.51
b. If rate reduces to 4.25%
Solving it the same way as (a)
639310.75 = cv* ( 1 + 0.0425 ) ^0.3333
cv = $638180.86
Answer:
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Answer:
a. $645,000
Explanation:
Computation for the net investment
Using this formula
Net investment=New assets+ shipping and delivery costs, Installation costs+Net working capital
Let plug in the formula
Net investment=$400,000+ $25,000+$70,000+$150,000
Net investment=$645,000
Therefore the Net investment is $645,000
Even though stocks, securities, and mutual funds are higher-risk investments, many people invest in them because they give higher rate of return.
<span>The rate of return are higher on high risk investments compared with low risk investments. This is because high risk investment have a big possibility of incurring losses, however, if said investment venture is successful and it generates a huge profit, its return is also bigger than when you invest in low risk investments.</span>
Answer:
A. (1) Competence, (2) Confidentiality, (3) Integrity, and (4) Credibility
Explanation:
There are four areas in which the ethical standards exist namely Competence, Confidentiality, Integrity, and Credibility
1. Competence: It reflects the capability of a person whether a person is capable of doing something or not. It has sound knowledge in a particular field or not.
2. Confidentiality: In this standard, the person should be confident and if any important information is available which can change the decision of a person has a responsibility to disclose it
3. Integrity: In this standard, the person should do ethical conduct only and prohibited any unethical conduct
4. Credibility: This standard use when the person has to communicate the information to other stakeholders which contain only accurate and fairly information. It restricts any mislead information.