Answer:
It is 16.9
Explanation:
Operating cycle = Inventory turnover + Receivable turn over - payable turnover
Hence, Operating cycle = 7.3+9.6
=16.9
Operating cycle implies how long it takes us to convert entire production process to cash .
It has an direct relationship with the level of working capital required. The higher the operating cycle, the higher the working capital investment required to keep the operation running.
A cash driven businesses like restaurant which hardly sell on credit will certainly have shorter operating cycle compared to a manufacturing company.
You get kind of a credit every time you buy something from the card issuer. that means you borrow money for the purchase you make from the card issuer with the promise to pay them at the end of the month (or whenever your contract tells you to). it's easy to switch credit cards and there are a lot of free contracts out there. better give your credit card number to someone you don't trust than your bank account number. cause in case of a fraud you can just change credit card. changing the bank account is a lot harder than changing credit card (plus the card issuer has the problem of not getting their money. not you)
Answer:
$140,309.20
Explanation:
The computation of the manufacturing overhead is shown below:
Predetermined overhead rate = (Total estimated manufacturing overhead) ÷ (estimated direct labor-hours)
= $302,000 ÷ 5,000 hours
= $60.4
Now we have to find the actual overhead which equals to
= Actual direct labor-hours × predetermined overhead rate
= 2,323 hours × $60.4
= $140,309.20
This is the answer but the same is not provided in the given options
business analysis stage, this occurs before development
Answer:
Answer :The annual incentive fees according to Black Scholes Formular =2.5
Explanation:
a)Find the value of call option using below parameter
current price (st)=$71
Strike price(X)=$78
Rf=4%
std=42%
time=1
value of call option=15.555
Annual incentive=16% x 15.555=2.5
The annual incentive fees according to Black Scholes Formular =2.5
(b) The value of annual incentive fee if the fund had no high water mark and it earned its incentive fee on its return in excess of the risk-free rate? (Treat the risk-free rate as a continuously compounded value to maintain consistency with the Black-Scholes formula.)
current price (st)=71
Strike price(X)=78
Rf=(e^4%)-1 = 4.08%
std=42%
time=1
value of call option=17.319
Annual incentive=16% x 17.319=2.77
