1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
aliya0001 [1]
3 years ago
14

The Closed Fund is a closed-end investment company with a portfolio currently worth $260 million. It has liabilities of $2 milli

on and 6 million shares outstanding. a. What is the NAV of the fund? (Round your answer to 2 decimal places.) b. If the fund sells for $40 per share, what is its premium or discount as a percent of NAV? (Input the amount as a positive value. Round your answer to 2 decimal places.)
Business
1 answer:
attashe74 [19]3 years ago
4 0

Answer and Explanation:

The computation is given below:

NAV = (Total value - Liabilities) ÷ Number of shares outstanding

= ($260M - $2M) ÷ 6M

= $258M ÷ 6M

= $43

b. The premium or discount is  

= (Market price - NAV) ÷ NAV

= ($40 - $43) ÷ $43

= -$3 ÷ $43

= -0.06976 or -6.98%

So here the fund should be sold at 6.98% discount

You might be interested in
Steelcase Inc. is one of the largest manufacturers of office furniture in the United States. In Grand Rapids, Michigan, it assem
Savatey [412]

Answer:

Explanation:

Prepare flexible production budget :

Units or production                18000       20000      22000

Variable cost:    

Direct labor                                 79200       88000      96800

Total variable cost                         79200       88000      96800

Fixed cost:    

Supervisor salaries                 150000       150000      150000

Depreciation                                  24500          24500       24500

Total fixed cost                          174500       174500         174500

Total department cost                  253700       262500         271300

5 0
3 years ago
Laelle is a confectionery company that manufactures candies. It does not use specific strategies to target children when marketi
Amanda [17]

Answer:

The correct answer is undifferetianted target strategy.

Explanation:

Undifferentiated marketing treats all buyers or potential buyers, as a homogeneous group. Another term for undifferentiated marketing is mass marketing. Instead of producing different marketing strategies for different segments of society or even different products for different groups, undifferentiated marketing attempts to reach all potential buyers using a marketing strategy. In this way, you treat all segments of the same population and the strategy is to use an approach that aims to appeal to as many people as possible.

A company can benefit from undifferentiated marketing in several ways. This marketing strategy does not require the same level of research in consumer tastes as in other types of marketing. While differentiated and concentrated marketing are two intensive research approaches, undifferentiated marketing requires an understanding of the largest possible segment of the population at a basic level to achieve wide acceptance. In addition, it allows a company to attract a much wider audience than marketing strategies.

6 0
3 years ago
_________ refers to organizational policies and practices that both enhance the economic success of a company and advance the ec
Karo-lina-s [1.5K]

Answer:

(a) Conscious capitalism.

Explanation:

Conscious Capitalism is a philosophy that says businesses should serve all principal stakeholders, including the environment.

While conscious capitalism still seeks a profit, it emphasizes doing so in ways that sincerely consider the interests of all principal stakeholders. The philosophy recognizes that some stakeholders, namely the environment, cannot speak for themselves but are still necessary considerations when making business decisions.

7 0
3 years ago
A company manufactures and sells three products. The products are all manufactured at the same facility. The controller of the c
Vanyuwa [196]

Answer:

Plant-wide rate.

Explanation:

A plant-wide rate can be defined as a single overhead rate used by business firms or companies to allocate the manufacturing overhead costs to the level of output or productivity.

In this scenario, company manufactures and sells three products. The products are all manufactured at the same facility. The controller of the company has decided to accumulate all budgeted overhead costs for the manufacturing facility into a single cost pool. The cost pool is then allocated to the three products based on the direct labor hours used by each product.

Hence, the type of overhead rate the controller most likely used in this allocation methodology is the plant-wide rate.

5 0
3 years ago
Sentinel Industries has manufactured prefabricated houses for over 20 years. The houses are constructed in sections to be assemb
evablogger [386]

Answer: Just calculate the precentages by the years.

Explanation:

3 0
4 years ago
Read 2 more answers
Other questions:
  • The marginal principle of retained earnings means that each potential project to be financed by retained earnings must:
    8·1 answer
  • Consider a no-load mutual fund with $580 million in assets and 20 million shares at the start of the year and with $630 million
    10·1 answer
  • The VP of Manufacturing at Roshanak Incorporated wants to buy a new die cast machine for production. The die cast machine is exp
    14·1 answer
  • During annual inventory week, a department store may ask its employees to work 12 hours a day instead of the usual 8. During tax
    9·1 answer
  • Bayest Manufacturing Corporation uses a predetermined overhead rate based on direct labor-hours to apply manufacturing overhead
    14·1 answer
  • Consider the following story:Diversifun, Inc., an insurance company, recently decided to offer boat insurance. Diversifun was co
    15·1 answer
  • Lyons Company deducts insurance expense of $210,000 for tax purposes in 2021, but the expense is not yet recognized for accounti
    8·1 answer
  • Gloria's research team is looking into how effective their new "Community Clean-Up" ad campaign might be. In doing so, they are
    5·1 answer
  • The nation of Mainland recently reported that its imports for the previous year were $7 billion greater than its exports. During
    5·1 answer
  • You want to invest in a stock that pays $5.00 annual cash dividends for the next four years. At the end of the four years, you w
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!