Answer: Option (B) is correct.
Explanation:
The three limitations to balance sheets are as follow:
1.) Assets are being noted or stored at a historical cost,
2.) There is a thorough use of the estimates,
3.) There's also omission of several precious non-monetary assets.
Therefore from the given options, we can state that the key limitation of using a balance sheets under the constraints of financial analysis is that different items in a balance sheet are or may be evaluated differently.
Answer:
It's best to invest in the second economy
Explanation:
The question does not provide information on the hypothetical economic expectations of the two economies, but as a risk-averse investor, it's a better idea to try to "spread" the risk instead of concentrating it.
In the first economy, conditions might or might not be good. If they are good, returns will be extraordinary because all stocks will provide good returns, but if conditions take a turn for the worse, all stocks prices will fall and the financial consequences will be catastrophic.
In the second economy, results might never be as good as in the first economy, but they also will not ever be as bad. The risk is spread between various stocks, and while some may fall in price, others will rise, and viceversa. For a risk-adverse investor, this a far better option.
Answer:
b. False
Explanation:
The above is false because sales people are supposed to build and maintain long term relationships with their customers by listening to and assessing their needs and not teaching their customers. Sales people create a concerted effort towards solving those needs experienced by their customers.
A salesperson represent the image of the company he or she is selling for, hence must be professional and well trained because the company gets profit through his interactions with the customers. This means that before the company gets profit, customers must be satisfied because these salespeople act as critical link between the company and its customers.
Answer:
Note: <em>The complete question is attached as picture below</em>
1a. The one year spot rate can be calculated using the one year zero bond.
PV * (1 + S1) = FV
1 + S1 = 1000 / 900
S1 = 1.1111 - 1
S1 = 0.1111
S1 = 11.11%
1b. PV of the 2 year bond = $950
Annual coupon = 1000 * 5% = $50
950 = 50 / (1 + S1) + (50 + 1000) / (1 + S2)^2
950 = 50 / 1.1111 + 1,050 / (1 + S2)^2
1,050/ (1 + S2)^2 = 950 - 45 = 905
(1 + S2)^2 = 1050 / 905
1 + S2 = 1.160221/2
S2 = 7.714%
1c. Price of the 2 year zero bond = 1,000 / (1 + 0.07714)^2
Price of the 2 year zero bond = 1,000 / 1.1602
Price of the 2 year zero bond = 861.9203586
Price of the 2 year zero bond = $861.92
Answer:
Check the explanation
Explanation:
To calculate or compute the annual percentage growth rate over a particular year period, minus the opening value from the ending value, after which you’ll divide by the opening value. Then multiply the result you got by 100 to get your growth rate that is demonstrated as a percentage.
The step by step calculation can be seen below:
a)if reaches 50 then per share gain
=final-initial-call premium
=50-45-3.25=1.75
gain(%)=gaim/initial)*100
=(1.75/45)*100
=3.89%
b)gain=50-44=6
gain(%)=(6/44)*100
=13.654%