Answer and Explanation:
1. When there is high uncertainty in the market, there will be high yield spreads. This is because the higher the risk the higher the profit or compensation for risk
2.preferred stock positions pay more consistent dividends that common stock positions and also pay higher than bonds.
3.Accelerated depreciation is depreciation method in accounting that deducts higher depreciation expenses in the early life of an asset therefore leaving the company to pay less taxes on these assets and more cash flow. Increased cash flow consequently encourages and leads to more investment
Answer and Explanation:
The computation of the payback period for each investment is shown below;
For Option 1
= Initial Investment ÷ Annual Cash Flow
= $280,000 ÷ $134,569
= 2.081 Year
Here Annual cash inflow is
= Net income + Depreciation
= $80,769 + (($280,000 - $11,000) ÷ 5)
= $134,569
For Option-2
= Initial Investment ÷ Annual Cash Flow
= $200,000 ÷ $70,429
= 2.84 Year
Here Annual cash inflow is
= Net income + Depreciation
= $44,000 + (($200,000 - $15,000) ÷ 7)
= $70,429
Answer:
$4,713.425
Explanation:
The computation of amount of net pay for the employee for the month of January is shown below:-
Deductions = (Gross earning × Social security tax rate) + (Gross earning × Medicare tax rate) + Federal income taxes + Health insurance + Contribution of retirement plan
= ($5,550 × 6.2%) + ($5,550 × 1.45%) + $184 + $152 + $76
= $344.1 + $80.475 + $184 + $152 + $76
= $836.575
Net pay = Gross earning - Deductions
= $5,550 - $836.575
= $4,713.425
Therefore for computing the net pay we simply applied the above formula.
Answer:
b. collision, comprehensive, liability, personal injury protection
Explanation:
automobile insurance policy can be regarded as a contact that exist between someone and the insurance company, which provide protection from financial loss Incas there is arises of theft, accident on ones car. It should be noted that An automobile insurance policy typically includes collision, comprehensive, liability, personal injury protection
