Answer:
$20,800,000
Explanation:
The formula and computation is shown below:
Value of the firm = {(Firm's current profits) × (1 + firm’s opportunity cost of funds)} ÷ (firm’s opportunity cost of funds - constant growth annual rate)
= {($400,000) × (1 + 0.06) ÷ (0.06 - 0.04)
= $424,000 ÷ 0.02
= $21,200,000
Hence, we recognized all the information which is mentioned in the question.
Answer:
The net cash flow provided by financing activities is: $840,000
Explanation:
Prepare the Cash flow from Financing Activities Section as follows :
Cash flow from Financing Activities
Proceeds from Issue of Shares $2,800,000
Dividends Paid ($560,000)
New Bond Issue $4,200,000
Bond Paid off ($5,600,000)
Net Cash flow from Financing Activities $840,000
<em>Note that the Bonds bought of another company constitutes investment activities of Blair Madison Co. thus excluded from Cash Flow from Financing Activities Calculation.</em>
Suppose in studying Climate Change we discover that in one country, deserts are going to be created where formerly there was grasslands and an abundance of water and in another place the coastlines are going to be altered. If you are an American, how do you think a politician is going to respond to such a problem.
Will his/her response be well thought out based on scientific preparedness, or will he (or she) grab onto the first solution suggestion to him/her and try and implement that?
Whatever he/she does, it will cost and everyone will be affected. A starting place is to find out what presidents in the past have done. During the Bush administration (the second Bush), there was an oil crisis. He responded by allocating more acreage to the growing of corn so supplementing oil production. Replaceable resources for non renewable ones. Sounded like a very good solution, but was it? As it turned out, no. He was robbing Peter to pay Paul. Thousands of people suffered (and died) with that decision because food is much more important than solving transportation problems at the expense of food.
The same is true here. If a solution is sought for global warming, politicians have to be well aware of what they are doing. And that has to be studied very carefully.
Answer:
Future value of total improvement cost = $1,788,552.44
Explanation:
As per the data given in the question,
Regular deposit amount = $250,000
No. of period = 5 years
Interest rate = 18%
Future value = Regular deposit amount × [((1+interest rate per period)^no. of period - 1) ÷ interest rate per period]
Face value = $250,000×[((1+0.18)^5-1) ÷ 0.18]
= $250,000×7.154
= $1,788,552.44
Future value of total improvement cost = $1,788,552.44
Answer:
I could not find the exact details related to this question so here is a similar question to guide you.
Goodwill = Acquisition Price - Net book value (Investee)
= 75,000 - ( Assets - Liabilities)
= 75,000 - ( 90,000 - 40,000)
= $25,000
Identifiable noncurrent assets is overstated by $10,000 however. This will have to be adjusted for tax and then removed from Goodwill to find the Net goodwill that should be reported in the investor's consolidated balance sheet prepared immediately after this business combination.
= 10,000 ( 1 - 40%)
= $6,000
Net Goodwill = 25,000 - 6,000
<h2>
= $19,000</h2>