Answer:
Total PV= $46,728.79
Explanation:
Giving the following information:
Cash flow:
Cf1= $8,000
Cf4= $16,000
Cf8= $20,000
Cf10= $25,000
Discount rate= 6%
To calculate the present value, we need to use the following formula on each cash flow:
PV= FV/(1+i)^n
Cf1= 8,000/(1.06^1)= 7,547.17
Cf4= 16,000/(1.06^4)= 12,673.50
Cf8= 20,000/(1.06^8)= 12,548.25
Cf10= 25,000/(1.06^10)= 13,959.87
Total PV= $46,728.79
Since the student comments to his roommate that the only way he will be able to pass his final exams is to not sleep for the next three days, one can say that the statement suggests that option c) there is a trade off between studying and sleep.
<h3>What means trade-off?</h3>
The Definition of trade-off is known to be the act or the process that is used in equalizing the factors all of which are not able to achieve at the same time such as the trade off between studying and sleep.
Note that the term trade-off is seen as a point where there is a situational decision that entails the act of lowering or losing one quality, quantity and even property so that one can be able to get other aspects or things,
Therefore, Since the student comments to his roommate that the only way he will be able to pass his final exams is to not sleep for the next three days, one can say that the statement suggests that option c) there is a trade off between studying and sleep.
Learn more about trade off from
brainly.com/question/7072776
#SPJ1
A student comments to his roommate that the only way he will be able to pass his final exams is to not sleep for the next three days. This statement suggests that a) students are more concerned about good grades than health b) society should value sleep more c) there is a trade off between studying and sleep d) society should value good grades more than sleep
Answer:
6.5%
Explanation:
Data given in the question
Beta of the stock = 0.9
Expected return = 9%
A risk-free asset = 4%
By considering the above information, the expected return on a portfolio is
= Risk - free asset × equally basis + expected rate of return × equally basis
= 4% × 50% + 9% × 50%
= 2% + 4.5%
= 6.5%
Since we have to find out the expected return on equally invested so we considered the risk free asset and the expected rate of return
Therefore we ignored the beta of the stock
Answer:
The net financing cash flows is $5000 as shown below.
Explanation:
The net financing cash flows is calculated below:
Receipt from bank for long-term borrowing $6000
Payment of dividends <u> ($1000)</u>
Net financing cash flows $5000
Receipt of $10000 relates to operating cash flows as it is cash receipt in the ordinary course of business
Payment to suppliers of $5000 is an operating cash flow as well as suppliers are paid for supplying the items that the business deals in, same applies to payment to workers of $2000.
Lastly, the payment for machinery of $8000 relates to investing activities of the business as it an expenditure incurred to generate more returns.
Answer:
Journal Entry for both type of shares is given below
Explanation:
DATA
Preference shares = 50
Common shares = 500
Dividend for preference shareholders = $6/share
Dividend for Common shareholders = $2/share
Entry DEBIT CREDIT
Dividend (for preference shares) $300
Dividend (for common shares) $1000
Cash $1,300
Working
Preference shares dividend = 50 x $6/share = $300
Common shares dividend = 500 x $2/share = $1000
