All categories

2 years ago

What is true about credit unions?

1 answer:

8 0

What is true about credit unions is that they are generally member-owned.
Even in the definition of a credit union it says that:
A credit union is a member-owned financial cooperative, democratically controlled by its members, and operated for the purpose of promoting thrift, providing credit at competitive rates, and providing other financial services to its members - taken from Wikipedia.

You might be interested in

Aggregate Demand is everything produced while Simple Demand is one good. Which statement reflects Aggregate Demand?

lys-0071 [83]

Calculating real output

8 0

2 years ago

Major Manuscripts, Inc.

Lisa [10]

Answer:

Projected total assets = $10,318 

Projected retained earnings = $4,675.30 

Additional new debt required = $537.70

Explanation:

external financing needed = EFN = [(total assets/total sales) x ($ Δ sales)] - [(total current liabilities/total sales) x ($ Δ sales)] - [profit margin x forecasted sales in $ x (1 - dividend payout ratio)]

total assets = $9,380, projected total assets = $9,380 x 1.1 = $10,318

total sales = $7,800

$ Δ sales = $780

current liabilities = $1,550

profit margin = net income / sales = $410 / $7,800 = 0.052564

forecasted sales = $7,800 x 1.1 = $8,580

dividends payout ratio = dividends / net income = $187 / $410 = 0.4561

EFN = [($9,380/$7,800) x ($780)] - [($1,550/$7,800) x ($780)] - [0.052564 x $8,580 x (1 - 0.4561)]

EFN = $938 - $155 - $245.30 = $537.70

projected retained earnings = current retained earnings - projected net income - projected dividends = $4,430 + $451 - $205.70 = $4,675.30

6 0

3 years ago

The common stock of sweet treats is valued at $10.80 a share. the company increases its dividend by 8 percent annually and expec

N76 [4]

Using the Gordon Growth Model (a.k.a. Dividend Discount Model), the intrinsic value of a stock can be calculated, exclusive of current market conditions. In this model, the value of the stock is equated to the present value of the stock's future dividends.

Value of stock (P0) = D1 / (k - g)

where
D1 = expected annual dividend per share in the following year 
k = the investor's discount rate or required rate of return
g = the expected dividend growth rate

From the problem:
The value of stock is $10.80
D1 is $0.40
g is 0.08

k is unknown

Solution:
Rearranging the equation for Gordon Growth Model to solve for k:

k = (D1/P0) + g

Substituting the variables with the given values,

k = (0.40/10.80) + 0.08
k = 0.1170

In percent form, this is
0.1170 * 100% = 11.70%.

Thus, the total rate of return on the stock is 11.70%.

3 0

3 years ago

Piedmont Company segments its business into two regions-North and South. The company prepared the contribution format segmented

Oduvanchick [21]

Answer:

The Dollar sales break even for the company is $568750, for the north region is $320000 and for the south region is $80000.

Explanation:

1. for the company:

cont margin ration = contribution/sale

= 240000/750000

= 0.32

fixed cost = 182000

dollar sales break even = fixed cost/cont margin ratio

= 182000/0.32

= $568750

2. for the north region:

cont margin ration = contribution/sale

= 120000/600000

= 0.20

fixed cost = 64000

dollar sales break even = fixed cost/cont margin ratio

= 64000/0.20

= $320000

3. for the south region:

cont margin ration = contribution/sale

= 120000/150000

= 0.80

fixed cost = 64000

dollar sales break even = fixed cost/cont margin ratio

= 64000/0.80

= $80000

Therefore, The Dollar sales break even for the company is $568750, for the north region is $320000 and for the south region is $80000.

3 0

3 years ago

An employee earns $24 per hour and 1.5 times that rate for all hours in excess of 40 hours per week. If the employee worked 50 h

Anettt [7]

Answer:

a. Gross pay = $1,320

b. Net pay = $917

Explanation:

a. Determine the gross pay for the week. $ If applicable, round your final answer to two decimal places.

Pay for 40 hours = 40 * $24 = $960

Pay for excess of 50 hours = (50 - 40) * $24 * 1.5 = $360

Gross pay = $960 + $360 = $1,320

b. Determine the net pay for the week.

Net pay = $1,320 - ($1,320 * 6.0%) - ($1,320 * 1.5%) - $304 = $917.

3 0

3 years ago