Answer:
$4,373
Explanation:
we will check lower of cost or market for individual items:
Minolta :
= Market value per unit × No. of units
= 158 × 5
= $790
Canon :
= Cost per unit × No. of units
= 145 x 7
= $1,015
Vivitar:
= Market value per unit × No. of units
= 114 x 12
= $1,368
Kodak:
= Cost per unit × No. of units
= 120 x 10
= $1,200
Total amount should be reported on Brik Camera Shop's financial statements:
= $790 + $1,015 + $1,368 + $1,200
= $4,373
Answer:
Present value = $35.00326585 rounded off to $35.00
Explanation:
Using the dividend discount model, we calculate the price of the stock today. It values the stock based on the present value of the expected future dividends from the stock. To calculate the present value of the stock, we will use the following formula,
Present value = D1 / (1+r) + D2 / (1+r)^2 + ... + Dn / (1+r)^n +
[(Dn * (1+g) / (r - g)) / (1+r)^n]
Where,
- r is the required rate of return
- g is the constant growth rate in dividends
- n is the number of years
Present value = 5 / (1+0.155) + 6.25 / (1+0.155)^2 + 4.75 / (1+0.155)^3 +
3 / (1+0.155)^4 + [(3 * (1+0.07) / (0.155 - 0.07)) / (1+0.155)^4]
Present value = $35.00326585 rounded off to $35.00
Answer:
The statement which is correct and true is that the debt securities usually pay interest for the fixed period or year. Therefore, the correct option is B.
Explanation:
Debt securities are the securities which refer to a debt instrument like CD (Certificate of deposit, preferred stock, corporate bond and municipal bond, it is sold or bought among the parties.
It is also called as the securities which are fixed income, therefore, the statement which is correct is that these securities pay interest for a fixed period.
Answer:
D. 8 percent interest for 9 years
Explanation:
We would use the formula future value formula below to determine which of the investment options would double her money:
FV=PV*(1+r)^n
PV is the amount invested which is $1000
r is the interest rate expected to be earned while n is the number of years First option:
FV=$1000*(1+6%)^3
FV=$1,191.02
Second option:
FV=$1000*(1+12%)^5
FV=$1,762.34
Third option:
FV=$1000*(1+7%)^9
FV=$ 1,838.46
Fourth option:
FV=$1000*(1+8%)^9
FV=$2000
Last option:
FV=$1000*(1+6%)^10
FV=$ 1,790.85
