Answer:
The total return is 12%
Explanation:
First and foremost we need to establish the bond price now, which is present value of cash flows (all coupon payments and repayment of principal) till maturity.
In calculating the price of the bond , I multiplied the discount factor by the cash flows.
The discount factor is 1/(1+r)^-N,where r is the yield to maturity and N is the number of years to maturity taken as 6 years previously and 5 years now.
N is the relevant year the cash flow is received .
The initial price at which bond is bought is $1,092.46 (as calculated in the attached)
The price the bond is sold now is $ 1,123.01 (
as calculated in the attached)
the total return=(selling price now+coupon received)/ initial purchase price
the total return =($1,123.01 +$100)/$ 1,092.46 -1
=1.12-1
=12%
Answer: False
Explanation:
This seems to me like a True or False question and the answer would be False.
Payback period is calculated on the basis of the timing of cash flows and since we do not know the useful life of Project B neither do we know the timing of it's cash flows, we cannot say for certain that Project A has a shorter Payback period.
For example, the initial investment could be $5 million for instance but Project A only pays $10 million on its 5th year whereas Project B had a useful life of 4 years and paid $2 million each of those years. Meaning it would have paid back before the end of the 3rd year.
If you need any clarification do react or comment.
Answer: True.
Explanation:
It has been shown that employees with a broad skill set can make a company more efficient than employees that focus on a single task.
This is because it is believed that they can integrate those skills to create better solutions and opportunities.
Relating this to job descriptions, companies have found then that giving employees a broad definition of job requirements enabled them to think outside the box and give more complete solutions which are innovative and full of quality.
For example, Financial Analysts might just trade normal stocks and bonds as they are supposed to but then if the company gives a broader definition of products required, you see these same analysts moving into Computerized Quantitative Analysis, Derivatives and the like.
1 cup of lemon juice requires around 16 tablespoons of of juice.
First, we need to know how many cups does making 4 pies require knowing that 1 pie requires half a cup. We can simply do that using cross multiplication as follows:
number of cups = (4 * (1/2))/1 = 2 cups
Then we need to know how many tablespoons do 2 cups require knowing that each cup requires 16 tablespoons. Again we can calculate this using cross multiplication as follows:
number of tablespoons = (2*16)/1 = 32 tablespoons
Now, we know that each 1 lemon yields 2 tablespoons, we can know how many lemons needed by using cross multiplication as follows:
number of lemons = (32*1) / 2 = 16 lemons
One lemons is $0.74
Therefore,
total cost = 0.74 * 16 = 11.84$
Answer:
$32,500
Explanation:
The items that appear on the Bank Statement and not on the Cash Book are used to update the Cash Book Balance.
Rahm Corp
Cash Book
Debit :
Balance before adjustment $32,800
Interest earned $100
Total $32,900
Credit :
Dishonored check $400
Balance (adjusted) $32,500
Total $32,900
Therefore,
Rahm Corp.'s adjusted cash balance at September 30, 2017 is $32,500