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3 years ago

Why are companies required to perform payroll withholding?

2 answers:

8 0

I think it’s c because when people are retired they already made money that the business they worked with gived them a check when they retire

Evgen [1.6K]3 years ago

4 0

Answer:

its B

Explanation:

TRUST

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The lower the user's switching costs:

JulijaS [17]

Answer:

more intense the competitive pressures posed by substitute products.

Explanation:

The lower the user's switching costs: the more intense the competitive pressures posed by substitute products.

Switching costs can be defined as the cost of a consumer switching from a product to a substitute good.

Therefore when such switching costs are low, it will be easier to switch from one product to another, implying that the competitive pressure from substitute goods are higher.

8 0

3 years ago

Read 2 more answers

You are 20 years old and have completed your BBA and want to pursue further education but you don’t want to take money from your

Dmitrij [34]

Answer:

1. Will you be able to meet your goal at this current saving rate?

yes, you will even have some spare money

annual cost of MBA = 400,000 x 2 years = 800,000

monthly salary = 25,000 and you will deposit 12,500

ordinary annuity, 0.8333%, 59 periods (5 years - 1 month) = 75.80535

the future value of your account = 12,500 x 75.80535 = 947,566.88 which is more than the cost of the MBA

2. What percentage of your salary should you save if you want to have exactly your university expenses amount?

42.2138%

800,000 / 75.80535 = 10,553.34

10,553.34 / 25,000 = 0.422138 = 42.2138%

3. How would your answer to part 1 change if the saving account rate changed to 5%?

actually you still have more money than what you need even if the interest rate falls to 5%, so you can still take your MBA

monthly salary = 25,000 and you will deposit 12,500

ordinary annuity, 0.41666%, 59 periods (5 years - 1 month) = 66.72805

the future value of your account = 12,500 x 66.72805 = 834,100.63 which is more than the cost of the MBA

4. If you are given an option to invest at the 10% saving rate with monthly compounding or 10.5% semiannual compounding, which would you chose?

I would choose the 10.5% semiannual compounding because the effective interest rate is higher.

the effective interest rate of investing at 10% compounded monthly = (1 + 10%/12)¹² - 1 = 10.47%

the effective interest rate of investing at 10.5% compounded semiannually = (1 + 10.5%/2)² - 1 = 10.77%

8 0

3 years ago

Siebel Incorporated, a non-publicly traded company, has 2009 after-tax earnings of $25 million, which are expected to grow at 6

Readme [11.4K]

Answer:

Answer of each requirement is given seperatly below.

a What is the value of Siebel using the DCF method?

Value under DCF = CF * (1+growth rate)/ (WAAC" -Growth rate)

Putting values (assuming after tax earning is all in cash)

Value of SI = 25 (1+6%)/ 20%-6% = 189 million dollars

"WAAC calculation

Here WAAC is equal to cost of equity (ke) as company is debt free.

Ke = risk free rate + beta (risk premium)

= 5 + 2.5 (6) = 20%

b What is the value using the comparable recent transactions method?

Based on recent tansaction the value of siebel incorporated will be calculated as shown below

Value of SI = Profit afte * 10 = 25 * 10 = 250 million dollars

Publicly-traded Rand Technology, a direct competitor of Siebel's sale is taken as bench mark.

c What would be the value of the firm if we combine the results of both methods?

By combining value of both value technique we get 189 + 250 = 439 million dollars.

8 0

3 years ago

Cairns owns 80 percent of the voting stock of Hamilton, Inc. The parent’s interest was acquired several years ago on the date th

tensa zangetsu [6.8K]

Answer:

hello your question has a missing journal entry table attached below is the entry journal table completely filled

Explanation:

Amount of bonds acquired = 40% of original bond

i) Bonds payable = 40% * 1,300,000

= $520000

purchase price of bonds = $520000 * 96% ( FACE VALUE )

= $499200

hence the annual amortization

(bonds payable - purchase price of bonds ) / 10 years - 2 years

(520000 - 499200 ) / 8 = $20800/8 = $2600

ii) premium on bonds payable

$20800 - $2600 = $18200

cash amount = $520000 * 8% = $41600

intra entity expense and income table is attached below

from the table

iii) intra-entity interest expense = $39000 and the

iv) intra-entity interest income = $44200

v) investment in bonds

purchase price of bonds + annual amortization

= $499200 + $2600 = $501800

the book value on bonds as at 1st January 2011

=$1300000 * 105% = $1365000

Premium on bonds as at January 1st 2011

= $1365000 - $1300000 = $65000

amortization of premium as at January 1st 2011

=( ($65000) / 10 years ) * 2 years

= $13000

hence the controlling interest in bonds payable = $540800

vi) gains on retirement bonds

= $540800 - $499200 = $41600

attached below is the journal entry on 31st December 2013

5 0

3 years ago

Look at the map showing the European Union (EU) and its free-trade agreement (FTA) countries.

shepuryov [24]

The actual correct answer is: <u>The European Union's free-trade agreements include agreements with both developed and developing nations.</u>

8 0

3 years ago

Read 2 more answers