What is your account balance after one year if you deposited 2000.00 earning 4% interest, compounded annually

Synovec Corporation is expected to pay the following dividends over the next four years: $6.60, $17.60, $22.60, and $4.40. After

Alexandra [31]

Answer: $245

Explanation:

If the required return on the stock is 7 percent, the current share price would be calculated as:

= 6.60/1.07 + 17.60/1.07^2 + 22.60/1.07^3 + 4.40/1.07^4 + [(4.4 × 1.0525) / (7%-5.25%)] / 1.07^4

= $245.23

= $245 approximately

Therefore, the current share price will be $245

3 0

3 years ago

Rosario Company, which is located in Buenos Aires, Argentina, manufactures a component used in farm machinery. The firm’s fixed

julia-pushkina [17]

Answer:

- BEP in unit: 4,000 units;

- In case fixed cost increases by 10%, New BEP in unit: 4,400 units.

- Net income: 1,000,000p.

- BEP in units if sale price to decrease : 8,000 units => Price change should not take place as it moves the company from making 1 million peso profit to a loss as sales in units (1,200 + 5,000 =6,200) is lower than break-even point ( 8,000 units).

Explanation:

Please find detailed calculations as below:

- BEP in unit is calculated as Fixed cost/ Margin earned by one product = 4,000,000/(3,000 - 2,000) = 4,000.

- New BEP in unit is calculated as New Fixed cost/ Margin earned by one product = (4,000,000 x 1.1)/(3,000 - 2,000) = 4,400.

- Net income: Sales - fixed cost - variable cost = 3,000 x 5,000 - 4,000,000 - 2,000 x 5,000 = 1,000,000 p

- BEP in units if sale price to decrease: Fixed cost/ Margin earned by one product = 4,000,000/(2,500 - 2,000) = 8,000.

4 0

3 years ago

Because of its importance in summarizing your strategy, the Introduction and Overview of your business plan should be

Rashid [163]

Answer:

Because of its importance in summarizing your strategy, the Introduction and Overview of your business plan should be written last-B.

3 0

3 years ago

Fiona wants to sell a local advertising calendar. There are 1,000 households in her community, and she estimates that 30 percent

vekshin1

complete question:

Fiona wants to sell a local advertising calendar. There are 1,000 households in her community, and she estimates that 30 percent will buy a calendar. The printing company will charge a $100 set up fee, and calendars will cost $4.00 each to print. She needs to cover all costs and make a $600 profit. Assume that each household will buy one calendar in one year. When she makes the $600 profit, what is the contribution per household

Answer:

contribution per household = $ 6.33333333333

Explanation:

Fiona wants to sell a local advertising calendar. There are 1000 household in her community . Her estimates for the number of the people that will purchase a calendar is 30% of the household in her community. This means 30/100 × 1000 = 300 household is the estimated number to buy her calendar.

Note that each household can only buy one calendar for that year.

Her total cost for the calendar can be calculated below:

set up fee = $ 100

cost for each calendar = $ 4

since she is producing 300 calendar = 4 × 300 =$ 1200

Total cost= 100 + 1200 = $ 1300

Total selling price - total cost price = profit

profit = $600

total cost = $ 1300

total selling price = ?

Total selling price - total cost price = profit

Total selling price - 1300 = 600

Total selling price = 600 + 1300

Total selling price = $1900

The contribution per household can be computed as follows:

Total selling price/estimated number of household to buy a calendar

contribution per household = 1900/300

contribution per household = $ 6.33333333333

4 0

3 years ago

Suppose americans decide to save less of their incomes, reducing the ability of banks to lend to businesses. with less funds ava

zimovet [89]

<span>If Americans decides to save less, then they will not keep the money in the bank account. They will rather spend it. This will leads to deficit in the deposits of banks and as a result bank will have less lending capacity. This reduction in lending will make it difficult for businesses to get loans which will impact their production levels and hence productivity as a whole will be reduced. Therefore, reduction in saving leads to reduction in productivity.</span>

4 0

3 years ago