<span>This is most likely an example of a franchise opportunity. It could also be considered to be a hybrid type of franchise where the indepenent dealers have more leeway in how the business looks and how it is run. This would be a win/win for many independent dealers as the would still be making most of the local decisions.</span>
Answer:
B) $2,500 per month rent.
Explanation:
Incremental cash flows do not include interest payments on investment capital, since the cash flows should be equally generated if you invest your own money, another partner invests his money or someone else lends it to you. The same logic applies to the administrative costs of the credit line.
Answer:
It will take 25.28 year to have enough to buy the car ( ignoring Inflation effect)
Explanation:
Current Deposit = PV = $49,000
Future Value = FV = $199,000
Interest Rate = r = 5.7%
Use following Formula
FV = PV ( 1 + r )^n
$199,000 = $49,000 ( 1 + 0.057 )^n
$199,000 / $49,000 = ( 1 + 0.057 )^n
4.06 = 1.057^n
Log 4.06 = n log 1.057
n = log 4.06 / log 1.057
n = 25.28
it requires 25.28 year to have an amount to buy the Ferrari.
Answer:
Option D) 1,200 shares held at a cost basis of $37.50 per share
Explanation:
Data provided in the question:
Number of shares of ABC stocks purchased by the customer = 1,000
Price per share of ABC stock = $44
Commission paid = $1.00 per share
Stock dividend declared = 20%
Now,
The Payment of a stock dividend will increase the number of shares held by the investor
also,
each share is theoretically worth less after the stock dividend is paid.
Therefore,
The number of shares customer will have = Shares purchased × (1 + Dividend declared)
= 1000 × ( 1 + 0.20)
= 1200 shares
Also,
Cost basis for the share = Selling price + Commission
= $44 + $1
= $45
Thus,
The adjusted cost basis = $45 ÷ 1.20
= $37.50 per share
Hence,
Option D) 1,200 shares held at a cost basis of $37.50 per share
Answer and Explanation:
Since in the question it is mentioned that the account payable beginning balance is $250,000 and the ending balance of the account payable is $350,000 so here $100,000 different would rise the cash from operations
Therefore the same is to be considered as there is an increase in inflows of cash
So the difference would be rise the cash from operations
