Answer:
$559,500
Explanation:
To find Live Co.'s expected dollar cash flows at the end of this year convert the Euro and Swiss francs amounts to dollar using their respective rates and then add all of the dollar amounts.
Swiss francs in dollars:
Euros is dollars:
Dollar cash flow:
The company's expected dollar cash flows are $559,500.
Answer: 10 years to call
Explanation:
Maturity period = 25 years
Coupon rate = 7%
6.25% basis is,
- Callable in 10 years at 103
- Callable in 15 years at 102
- Callable in 20 years at par
This bond is considered as premium bond. Therefore, in case of premium bonds, Yield to call will be lower than the yield to maturity. Here, the question is which call date should be utilized. According to the rule of thumb, it states that always use the term that is nearest to the whole call date.
Hence, on the customer's confirmation, the dollar price quoted must be based on 10 years to call.
Answer: Option A
Explanation: The given case relates to the problem of dissolution of partnership and not the dissolution of firm.
In case of dissolution of partnership only the existing agreement among the partners ceases to exist due to leaving or joining of new partners and a new agreement takes place among the existing partners.
In such a case, the account balance of the partner remains same. It changes in case of dissolution of firm.
Hence the correct option is A.
Answer: Option B is correct.
Explanation:
The option A is incorrect because Silver screen cinemas are competing on prices which shows that it will charge lower prices than the supplier who is offering differentiated products and is in similar line of business.
Option B is correct because though both of these companies are in similar type of industry but their customer segments are different from each other. Digi Now Inc. is offering services to upper class whereas the Silver Screen Cinemas Inc. is offering to people who have lower purchasing power.
Option C is incorrect because Digi Now Inc. is offering services to upper class, which means it will charge higher prices for superior customer services. Silver Screen Cinemas Inc. will charge lower prices for lower level of customer services.
Option D is incorrect because one is competing on quality whereas the other is competing on cost. So it is impossible for the one who is competing on cost to offer everything to everyone.
Here is how to solve this:
$20 - $4= $16 = numerical expression.
Hope this helped!
