What is the maximum locked-rotor

____ institutions accept and manage customer deposits in checking and savings accounts.

gtnhenbr [62]

Answer:

The correct answer is depository institutions.

Explanation:

We denominate Depository institution to financial entities that can legally receive and manage monetary deposits from costumers.

This institution serves as a way to keep a person's money securely, and thus achieve the physical security of the person who owns the money, since having a certain amount of money with himself can be dangerous.

A client will give his money to a depository institution, which also have several types of bank accounts, and when the client wishes, that money will be returned.

The depository Institution, while saving your money, can use it to make investments or to lend to other costumers.

6 0

3 years ago

Which of the following schools is least likely to receive state tax dollars? A. Liberty Baptist University

bagirrra123 [75]

The least likely to receive tax dollars is Liberty Baptist University because of its religious beliefs.

7 0

3 years ago

Peter Realtors, a real estate consulting firm, specializes in advising companies on potential new plant sites. The company uses

marissa [1.9K]

Answer:

1. Hourly Direct Labor Cost rate = Direct Labor cost / Direct Labor hours

Hourly Direct Labor Cost rate = 2,500,000 / 25,000

Hourly Direct Labor Cost rate = $100 per hour

Computation of Indirect cost

Office Rent $320,000

Support staff salaries $1,260,000

Utilities $420,000

Total Indirect Costs $2,000,000

Predetermined indirect cost allocation rate = = Total Estimated indirect cost / Total estimated direct labor cost = 2,000,000 / 2,500,000 = 80% of Direct Cost

2. Direct Labor $25,000 (250 * 100)

Indirect Cost $20,000 (25,000 * 80%)

Total Predicted cost $45,000

3. Predicted cost $45,000

Desired Profit $22,500 (50% of $45,000)

Required Service revenue $67,500

4 0

3 years ago

An investment costs $152,000 and has projected cash inflows of $71,800, $86,900, and −$11,200 for Years 1 to 3, respectively. If

Radda [10]

Answer:

No; The IRR is less than the required return.

Explanation:

Calculation of IRR is given by the formula: Lr x NPVL / NPVL - NPVH x (Hr - Lr)

where

Lr = Lower rate of discount

Hr = Higher rate of discount

NPVH = NPV at Higher discount rate

NPVL = NPV at Lower discount rate

Assume a low discount rate of 1% and a high rate of 20%

NPV at 1%

Particulars Year 0 Year 1 Year 2 Year 3

Cash flows 152,000 71,800 86,900 (11,200)

DCF 1% 1 0.99 0.98 0.97

Present values (152,000) 71,082 85,162 (10,864)

NPV = $6,620

NPV at 20%

Particulars Year 0 Year 1 Year 2 Year 3

Cash flows 152,000 71,800 86,900 (11,200)

DCF 20% 1 0.83 0.69 0.58

Present values (152,000) 59,594 59,961 (6,496)

NPV = ($38,941)

Substituting values in the IRR formula we have:

1% x [($6,620 / ($6620 - (38,941))] x (20% - 1%) = 2.06%

Therefore we reject the project because it gives an IRR lower than the required rate of return of 15.5%

8 0

3 years ago

Would you prefer a fully taxable investment earning 8.1 percent or a tax-exempt investment earning 6.1 percent? (assume a 28 per

blsea [12.9K]

Prefer the 6.1 percent tax-exempt investment. Let's do the math and see why the tax-exempt investment is the better choice. For the 8.1% taxable investment, you get taxed at the rate of 28%. Which means that you only get to keep 100%-28% = 72% of your gains. So 0.72 * 8.1 = 5.832 which means your effective earning percentage is only 5.832% which is less than the 6.1% rate you get for the tax-exempt investment. Another consideration that wasn't taken into account for the question is the earnings on the taxable investment may push you up into a higher tax bracket. Which in turn increases the tax burden on your other investments. So the better choice here is the 6.1% tax-exempt investment even though that first glance the 8.1% investment looks higher.

7 0

3 years ago