Answer:
$50,800
Explanation:
Security Cost Fair value Gain(loss)
X 371,000 343,500 -27,500
Y 185,000 162,400 -22,600
Z <u>424,000</u> <u>407,800</u> <u>-16,200 </u>
Total <u>980,000</u> <u>913,700</u> <u>-66,300</u>
Unrealized holding loss on Income statement ended June 30,2021 = $66,300 - $15,500 = $50,800
Answer:
The optimal production plan gives a total costs of $417,672 for the periods Feb to May
In Feb we will have to hire 26 workers to close the gap between demand and production from our 100 existing workers
In March however, we will have to lay them off (26 workers) to keep our production in line with demand.
In April, we are constrained to 100 workers, thus requiring that we run overtime. The overtime requirement is between 3,060 hours to max of 5,000 hours. Note that inspire of the hours chosen, demand for April still won't be fulfilled.
The best option will be the one that gives us last backlog because of the costs of backorder being extremely costly.
5,000 overtime hours in April is the best option .
In May, we are constrained to our 100 workers, meaning we will fulfill our back orders and also retain inventory in hand of 7,760 units.
The 3 pages attached show how the cost is worked out and the presentation as well.
Answer: 16.55%
Explanation:
Profit margin is the amount of earnings that a company has left when every expenses and costs have been deducted.
From the information given, firstly, we calculate the return on equity. This will be:
= Growth rate /(1 + Growth rate) × Retention ratio
= 8% / (1 + 8%) × 46%
= 0.08/(1 + 0.08) × 0.46
= 0.08/1.08 × 0.46
= 0.08/0.4968
= 0.1610
= 16.10%
Return on equity, ROE = 16.10%
We then calculate the profit margin. This will be:
= ROE / Asset turnover × Equity Multiplier
where,
Equity Multiplier = 1 + debt-equity ratio
= 1 + 0.37 = 1.37
Profit margin = ROE / Asset turnover × Equity Multiplier
= 16.10% / {(1/1.41) × 1.37}
= 16.10% / 0.71 × 1.37
= 0.1610 / 0.9727
= 0.1655
Profit margin = 16.55%
Considering the available options, Bonds are a "<u>store of value, but not a medium of exchange."</u>
<h3>What are Bonds?</h3>
Bonds is a term or entity in the financial world to describe a form of fixed-income security that has its terms stipulated in an indenture or legal contract.
<h3>Medium of Exchange</h3>
On the other medium of exchange is an entity used in a transaction to exchange goods or services.
In modern times, the medium of exchange is currency or money.
Hence, in this case, it is concluded that the correct answer is option B. "<u>store of value, but not a medium of exchange."</u>
Learn more about Bonds here: brainly.com/question/25425872
Answer:
B. The value of a perpetuity is equal to the sum of the present value of its expected future cash flows.
C. The current value of a perpetuity is based more on the discounted value of its nearer (in time) cash flows and less by the discounted value of its more distant (in the future) cash flows.
Explanation:
A Perpetuity is a financial instrument that pays the holder forever or in perpetuity. For example, a bank paying you $800 per year for ever because you invested $40,000.
There are certain characteristics
Option B
The Perpetuity like most financial Securities has its value based on the underlying cashflows that it can accumulate. This means that it's value is based on the present value of it's future cashflow so the other the cash payments, the higher the present value.
Option C.
As the discounted cashflows in the nearer future will be discounted less by the discount rate as opposed to the cash flows further in future, the cashflows nearer to the present in time will contribute more to the Perpetuity than the cashflows further in time.
For example using that first example, $800 per year at a rate of 5% will be discounted to $762 in the first year but in year 10 will be discounted to $491.
