The first Year of your business’s operations
Answer:
Ans. The equilibrium rate of return on a 1-year Treasury bond is 6.65% (please check the explanation)
Explanation:
Hi, well, this type of bonds exist so people can avoid the time value of money risk, in other words, to keep money save from inflation and provide a risk free return at the same time. From a part of the text I can tell that the person who wrote it wanted to add up the risk free rate and the inflation rate, that is 3.05%+3.60% =6.65%.
This is why I wrote this answer, but the truth is that since they are both effective rates (risk free rate and inflation), they need to be add as effective rates, that is:
Therefore
So the real equilibrium rate of return is 6.76%, but for the sake of the question, I wrote 6.65%.
Best of luck.
Answer:
$1.35 per share
Explanation:
Note: See the attached excel file for the calculation of the weighted shares outstanding.
The earnings per share can be computed as follows:
Weighted shares outstanding = 1,702,000 shares
Preferred stock dividend = 48,000 * $100 * 8% = $384,000
Net income = $2,680,000
Net income after preferred stock dividend = $2,680,000 - $384,000 = $2,296,000
Earnings per share = Net income after preferred stock dividend / Weighted shares outstanding = $2,296,000 / 1,702,000 = $1.35 per share
Answer: Labor
Explanation: Human Resources (labor) The quantity and quality of human effort directed toward producing goods and services (also called labor).
Answer:
$1,200
Explanation:
during 2019, Harry can deduct:
- 50% of the costs of meals while on he is on business trips
- 100% of airfare and other travelling costs
- 100% of lodging costs while doing business
Harry's deductions = (50% x $200) + (100% x $600) + (100% x $500) = $100 + $600 + $500 = $1,200
Any expenses incurred during vacation are not deductible.