Answer:
8.28%
Explanation:
Given that,
Net income = $10 million
Total debt = $65 million
Debt ratio = 35 percent
Debt ratio = Total debt ÷ Total assets
35 percent = $65 million ÷ Total assets
Total assets = $65 million ÷ 35 percent
= $185,714,286
Wave Runnerz's ROE for 2018:
= Net income ÷ Equity
= $10,000,000 ÷ (Total assets - Debt)
= $10,000,000 ÷ ($185,714,286 - $65,000,000)
= $10,000,000 ÷ $120,714,286
= 0.0828 or 8.28%
Answer:
C. an open-end fund
Explanation:
An open end fund also known as mutual fund is a diversified investment portfolio that does not have a limit in terms of shares that can be issued. In an open end fund, when shares are purchased by investors, more shares are created likewise shares are taken out of circulation when they are sold.
Majority of open end funds - mutual funds can issue new shares at all times as per response to the demand by investors. Shares bought and sold in open end fund are priced daily based on their current net asset value (NAV) . Example of open end funds are hedge funds, mutual funds, exchange traded funds (ETFs)/etc.
Answer:
The statement that “Government inputs, especially the 1825 Erie Canal and subsequent projects like the Chesapeake and Ohio Canal, created an economic advantage for the Northern states because the expense and time of moving freight dropped radically,” is True.
Explanation:
This is on the grounds that tax collection doesn't devastate the economy. Actually, they give income to the administration through which the legislature can back its improvement and government assistance ventures. In addition, burdens additionally fill in as an arrangement of salary re-conveyance for accomplishing higher fairness in an economy. What's more, in antiquated occasions refrigeration was finished utilizing ice-houses and so on.
Answer:
Arbitrage opportunity may exists as the ZCBs selling at different price at same time due to change in their YTM .
The PV of 100 face value zcb with different ytm are different , in this case.
for one year maturity with face value 100 current price = fv/ pv at 8% = 92.59
for Two year maturity with face value 100 current price = fv / Pv at 9% for two years = 84.167 , if the bond holder sell the bond after 1 year only, the price = 91.74 .
a) The arbitrage opportunity exist with buy two bond with face value 100 with maturity of 1 year and face value 110 with maturity of 2 years.
b) profit 0.01 , as difference between PV of both bond at their YTM rate.
Answer: C
Explanation:
This is because although the coupon rate is devoid of federal income tax any market discount is taxed as interest income earned. So so if there is a way that they can be taxed without jeopardizing their basic Federal income tax-free status, why not? The discount can be accreted annually and tax paid, or the tax can be paid at maturity or sale date.
