Answer:
FV= $6,616.38
Explanation:
Giving the following information:
Annual cash flow= $500
Number of periods (n)= 8
Interest rate= 14%
<u>To calculate the future value, we need to use the following formula:</u>
FV= {A*[(1+i)^n-1]}/i
A= annual cash flow
FV= {500*[(1.14^8) - 1]} / 0.14
FV= $6,616.38
Answer:
The answer is stockholders' equity is overstated
Explanation:
When inventories are overstated it reduces the cost of sales because the excess inventory in accounting records means the ending inventory will be higher and cost of sales will be lower.
When ending inventory is overstated, total assets and retained earnings will be overstated. And when retained earnings is overstated, stockholders' equity is also overstated because retained earnings is a line item under stockholders' equity.
<span>a. allowing top managers to make decisions, because the other 3 answers could all fall under the first answer. organizations are designed from top down. This makes a. the best answer.</span>
Answer:
Bond Price= $1,081.1
Explanation:
Giving the following formula:
Face value= $1,000
Number of periods= 5*2= 10 semesters
Coupon= (0.1/2)*1,000= $50
YTM= 0.08/2= 0.04
<u>To calculate the price of the bond, we need to use the following formula:</u>
<u></u>
Bond Price= cupon*{[1 - (1+i)^-n] / i} + [face value/(1+i)^n]
Bond Price= 50*{[1 - (1.04^-10)] / 0.04} + [1,000 / (1.04^10)]
Bond Price= 405.54 + 675.56
Bond Price= $1,081.1