Given:
average inflation rate: 2.7%
average t-bill rate: 5.4%
returns
17%
- 4%
20%
12%
10%
Average returns = (17% - 4% + 20% + 12% + 10%) / 5 = 11%
Average real risk-free rate using the Fisher equation.
The average real risk-free rate was: (1 +R) = (1 +r)(1 +h)
f = <span>(1.054/1.027) – 1
f = 1.0263 - 1
f = 0.0263 or 2.63%</span>
The average real risk-free rate over this time period is 2.63%
Answer:
$45,600
Explanation:
Only cash entries are reported into the cash flow report.
Thus we only report $45,600 cash into “Sale of assets” of investing activities.
Answer:
$3000
Explanation:
In the United states, eligible child care expenses per dependent are limited to $3000. Since Tim and Sandy have only One 10 year old daughter which fall under the age 13 bracket for dependents gives them a maximum limits of $3000. It is important to note that of a couple has two or more child (dependents) they are eligible to $6000. A relative who is a care giver qualifies if expenses are paid to the relative on conditions that the relative isn't a dependent non child of the couple.
Answer:
Its operating expenses were $ 3.588 B
Explanation:
The operating ratio is the ratio of operating expense to the operating or revenue generated.
This ratio is used for comparison of results from the operations of various industries.
Given that the operating ratio of 78% and the operating revenue is $4.6B, the operating expense T may be computed as
78% = T/4.6 * 100%
T = 4.6 *.78
= $3.588 B