Answer:
The cash flow mark to market proceeds = $754.45
Explanation:
The current index value after 12 months = current stock index * (1 + risk free - dividend yield)^12
= 1800 * (1 + 0.50% - 0.20%)^12
The current index value after 12 months = 1865.88
The future index value after 12 months = future stock index * (1 + risk free - dividend yield)^12
= 1820 * (1 + 0.50% - 0.20%)^11
The future index value after 12 months= 1880.97
The cash flow mark to market proceeds = (future index future value - current index future value) * multiplier
= (1880.97 - 1865.88) * 50
The cash flow mark to market proceeds = $754.45
Answer:
b. The indirect method
Explanation:
The Operating Activity Section Calculates the Net Cash flow from Operating Activities. It can be prepared in only two methods according to IAS 7.The methods are Indirect Method, Direct Method
Indirect Method Reconciles the Net Income for the Year to the Net Cash flow from Operating Activities after adjustments of Non- Cash flow Items, and Adjustments for Working Capital Movements.
Direct Method focuses on the Cash Inflows and Outflows related to the Operating activities to Calculate the Net Cash flow from Operating Activities.These Cash flows results from Receipts from Customers and Payments made to Suppliers and Employees
Answer:
The correct answers would be options B, C, E and F.
Explanation:
Variable expenses are the expenses that change with the increase or decrease of the use of product or service. Variable expenses are usually unpredictable.
In the given question, the discretionary spending, groceries, electricity bill and water bill are variable expenses, as they will increase or decrease with the use of them. For example, the more electricity you consume, the more bill you get and vice versa. Similarly, the more items you purchase in the grocery, the more you will have to pay and vice versa.
Answer:
Return on investment = -0.71%
Explanation:
<em>The return on investment is the sum of the dividends earned and capital gains made during the holding period of the investment. </em>
<em>Dividend is the proportion of the profit made by a company which is paid to shareholders. </em>
<em>Capital gains is another type of the return made on an equity investment as a result of increase in the value of the shares. It is difference between the cost of the share and the value at the time of disposal</em>.
Therefore, we can can compute the return on the investment as follows:
Total Return on investment =
(Capital gain/ loss + dividend )/purchase price × 100
Capital loss = (184 -140) × 120 = - 480
Dividend = 427
Commission = 34 + 39 =-73
Net loss on investment = - 480 - 73 + 427= -126
Return on investment = -126
/(148× 120) = -0.71%
Return on investment = -0.71%
Answer:
Letter A is correct.<u> Direct marketing channel.</u>
Explanation:
A distribution channel is the most effective way a company decides to get its products to the end consumer at the right place at the right time. Intermediaries or business chains can be used to get the good to the customer. Some examples of distribution channels are: manufacturer, internet, retailers and shipping centers.
Distribution channels can be direct or indirect.
In the case of the above question, Sophie's sales occurred through a direct distribution marketing channel, because this is configured as the one where the consumer can purchase the product or service direct from the manufacturer, there are no intermediaries for the product to reach the final customer. And proper transportation or logistics teams are also used to effectively deliver directly.
