Answer:
Which of the following would a corporate finance professional typically NOT work with?
Supply chain management
Explanation:
Supply chain management describe the set of production processes and logistics whose ultimate goal is the delivery of a product to a customer.
Answer:
Diversification
Explanation:
The key words here are 'several businesses'. A company engage in many businesses in order to mitigate or reduce its business risk, and also to create and add more value to customers. This offers a far advantage position than a stand alone entities who deal with only one product or service.
Question Completion:
Since the Trial Balance was not provided, we assume that the Supplies account had a beginning balance of $120 for the purpose of this exercise. Any other figure can be substituted for this balance.
Answer:
Adjusted Trial Balance as of December 31: Income Statement Balance
Debit Credit Expense Revenue Sheet
a. Depreciation expense $18 $18
Accumulated Depreciation $18 -$18 assets
b. Accrued Salaries $21 $21
Salaries Payable $21 $21 liabilities
c. Unearned Revenue $27 -$27 Liab.
Earned Revenue $27 $27
d. Supplies Expense $30 $30
Supplies $30 -$30 assets
e. Insurance Expense $30 $30
Prepaid Insurance $30 -$30 assets
Explanation:
Company B with the adjusting events above, usually recorded through the adjusting journal, can also be adjusted directly in the trial balance with their effects on the financial statements clearly demonstrated. Expenses have debit accounts while liabilities have credit accounts. Expenses reduce the net income, revenues increase the net income, while liabilities and assets can be reduced or increased as the case may be.
$8,000,000 - corporate issued
5 % - annual interest
30 % - income tax rate
Annual net cash cost - ?
Formula and Solution - (8,000,000 x 0.05) x 0.7 = 280,000
Answer: The Annual net cash cost - $280,00
Answer:
The expected 1-year interest rate 2 years from now should be 8.11%
Explanation:
The Zero-coupon rate bond is a bond that does not offer the coupon payment. This coupon is issued at a deep discount value. The only cash flow associated with this bond is the face value at the maturity date.
Use following equation to calculate the The expected 1-year interest rate 2 years from now
( 1 + 1 years maturity rate)^1 x ( 1 + 2 years maturity rate)^2 = ( 1 + 3 years maturity rate)^3
( 1 + 1 years maturity rate) x ( 1 + 6.60%)^2 = ( 1 + 7.10%)^3
( 1 + 1 years maturity rate) x ( 1.0660)^2 = ( 1.0710)^3
( 1 + 1 years maturity rate) = ( 1.0710)^3 / ( 1.0660)^2
( 1 + 1 years maturity rate) = 1.228481 / 1.136356
1 + 1 years maturity rate = 1.081071
1 years maturity rate = 1.081071 - 1
1 years maturity rate = 0.081071
1 years maturity rate = 8.1071%
1 years maturity rate = <u>8.11%</u>
