What are some certifications that would benefit my career in the financial industry, that I can obtain quickly?

On January 1, 2012, Albert invested $6,000 at 8 percent interest per year for three years. The CPI (times 100) on January 1, 201

qaws [65]

Answer:

Inflation in 2012:

$=\frac{CPI\ 2013 - CPI\ 2012}{CPI\ 2012}$

$=\frac{110 - 100}{100}$

= 10%

Inflation in 2013:

$=\frac{CPI\ 2014 - CPI\ 2013}{CPI\ 2013}$

$=\frac{120 - 110}{110}$

= 9.09%

Inflation in 2014:

$=\frac{CPI\ 2015 - CPI\ 2014}{CPI\ 2014}$

$=\frac{126 - 120}{120}$

= 5%

Real rate of interest = Nominal - inflation

Given that,

Nominal rate = 8%

Therefore,

Real interest rate is as follows:

2012:

= 8% - 10%

= -2%

2013:

= 8% - 9.09%

= -1.09%

2014:

= 8% - 5%

= 3%

$6000 at 8% grows to:

= 1000 × 1.08

= $6,480 in one year

which is invested again to grow to $6,998.4 in two years

which is invested again to grow to $7,558.272 in three years

so,

Total gain:

$=\frac{7,558.272-6,000}{6000}\times100$

= 25.9712%

The price level increases in three years by:

$=\frac{CPI\ 2015 - CPI\ 2012}{CPI\ 2012}\times 100$

$=\frac{126 - 100}{100}\times 100$

= 26%

So,

Total real rate of return:

= Total gain - Percentage increase in prices

= 25.9712 - 26

= -0.0288%

5 0

3 years ago

At magnira corp., a company that manufactures fruit preserves, fruits of excellent quality are used to make jams, jellies, and m

Juli2301 [7.4K]

In the example of the Magnira Corporation, the fruits are turned into jellies, jams, and marmalades an example of raw materials. Raw materials are basic, unprocessed materials that are used to manufacture goods. Raw materials are often referred to as commodities.

3 0

3 years ago

Read 2 more answers

Condensed financial data are presented below for the Phoenix Corporation:

Solnce55 [7]

Answer:

Part 1.

3.1 times

Part 2.

a. total assets

Part 3

d. the company's ability to generate sufficient cash to repay debt when due.

Explanation:

For Part 1

Inventory turnover measures the activity of liquidity of a company`s inventory. The higher the ratio in comparison, the more efficient the inventory is managed.

Inventory turnover = Cost of Sales ÷ Inventory

therefore,

Inventory turnover = $982,500 ÷ $ 312,500 = 3.1 times

For Part 2

In a common-size Balance Sheet, each item is expressed as a percentage of total assets whereas in a common size Income Statement, Sales revenue is expressed as 100 % and every other item is expressed as a percentage of sales revenue.

For Part 3

Solvency or Liquidity is the ability of short term assets to cover short term liabilities. Also put, it is the company's ability to generate sufficient cash to repay debt when due.

5 0

3 years ago

What are products called that are special or different from those grown as commodities?

dybincka [34]

Answer:

unique prroducts

Explanation:

A product is a commodity when all units of production are identical, regardless of who produces them. However, to be a differentiated product, a company's product is different than those of its competitors. On the continuum between commodities and differentiated products are many degrees and combinations of the two.

6 0

3 years ago

A supplier of instrument gauge clusters uses a kanban system to control material flow. The gauge cluster housings are transporte

defon

Answer:

$N=\frac{5*2(1+0.4)}{6}\\N=2.333\ kanban\\$

Rounded to next whole number:

N=3 kanban card sets

Explanation:

Given:

Number of gauges per hour=D=5 gauges per hour

Gauge cluster housing Transported=C=6

Hours for housing replenishment = T=2 hours

Safety Stock Percentage=P=40%

Find:

Number of kanban card sets needed=N=?

Solution:

Formula According to above mentioned Alphabets

$N=\frac{D*T(1+P)}{C}$

$N=\frac{5*2(1+0.4)}{6}\\N=2.333\ kanban\\$

Rounded to next whole number:

N=3 kanban card sets

7 0

4 years ago