Answer:
$1,045,517.95
Explanation:
Data provided in the question:
Semiannual payments = $193,000
Number of semiannual payments, n = 6
Annual interest rate, i = 6% = 0.06
when compounded semiannually = 6% ÷ 2 = 3% = 0.03
Now,
Single Payment = Semiannual payments × PVAF
here,
PVAF = [ 1 - (1 + i )⁻ⁿ ] ÷ i
or
PVAF = [ 1 - (1 + 0.03 )⁻⁶ ] ÷ 0.03
or
PVAF = 5.4172
Therefore,
Single Payment = $193,000 × 5.4172
= $1,045,517.95
The answer is Non-store Retailing.
Automatic vending, direct mail catalogs, tv home shopping, online retailing, telemarketing and direct selling are examples of Non-store Retailing .
What is Non-store Retailing?
- Non-store retailing could be a frame of retailing in which a firm offers its items without a physical retail store/space.
- The firm offers its items by means of online stages and conveys the item to customer’s doorstep.
- Although companies have been doing non-store retailing for the past three or four decades, it rose to noticeable quality during the 21st century.
- In any case, non-store retailing isn't an normal line of trade by any implies.
- Firms these days are exchanging to non-store retailing since of its “unlimited” benefits.
- With the changes in customer’s inclinations, the non-store retailing commerce has developed monstrously amid the 21st century.
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Answer:
the inventory should be recorded at $8,500
Explanation:
As we know that according to GAAP, the inventory should be recorded at a cost or net realizable value whichever is lower
So as per the question
Historical cost is $12,000
And, the net realizable value is
= Expected selling price - expected selling cost
= $9,000 - $500
= $8,500
So, the lower cost is $8,500
Hence, the inventory should be recorded at $8,500
Answer:
P0 = $28
Explanation:
Using the constant growth model of dividend discount model, we can calculate the price of the stock today. The DDM values a stock based on the present value of the expected future dividends from the stock. The formula for price today under this model is,
P0 = D1 / (r - g)
Where,
- D1 is the dividend expected for the next year
- r is the required rate of return
We first need to calculate r using the CAPM. This is the minimum return required by the investors to invest in a stock based on its systematic risk, the market's risk premium and the risk free rate.
The formula for required rate of return under CAPM is,
r = rRF + Beta * (rM - rRF)
Where,
- rRF is the risk free rate
- rM is the market rate of return
r = 0.05 + 1.4 * (0.15 - 0.05)
r = 0.19 or 19%
Now we can calculate the price of the stock today.
P0 = 3.92 / (0.19 - 0.05)
P0 = $28
Answer: Contingent theory
Explanation:
The Contingent theory of management believes that management cannot possibly know the best way to manage the activities of a company because things could go wrong at any time.
The theory goes further to suggest that the best bet that a company has is to try to align its internet environment to its external environment. In other words, it should align its corporate culture with the culture of the environment that it is based in.