Answer:
-$306.15 and rejected
Explanation:
Year Cash flows Discount factor Present value
at 12%
0 $-119,000 1 $-119,000 (A)
1 $52,800 0.8928571429 $47142.86
2 $60,200 0.7971938776 $47,991.07
3 $33,100 0.7117802478 $23559.93
Sum $118,693.85 (B)
Net present value -$306.15 (A - B)
Answer:
Food, Drug, and Cosmetic Act is the correct answer.
Explanation:
I would go with C)it's harder to get credit if you have filed bankruptcy
Answer:
We'll start by putting into consideration, the large sample variance at the numerator.
Barron's Variance will be represented using 1 as the subscript.
i.e.
1 = $583 million
2 = $489 million
So,
0: 1²= 2²
: 1² ≠ 2²
=1² / 2²=
= $583 million² / $489 million²
= 583²/489²
= 1.42
Degrees of freedom 15 and 9
Using F table, area in tail is greater than 0.10.
Two-tail p-value is greater than .20
Exact p-value corresponding to F= 1.42 is .5874 (See F table)
p-value > .10
So,we do not reject 0.
We cannot conclude there is a statistically significant difference between the variances for the two companies.
Answer: 20%
Explanation:
Municipal Bonds are generally not taxed so if you invest in the Municipal bond, the tax rate does not affect you.
The tax rate therefore that will make you indifferent between the 2 options is the one that will take the Corporate bond returns of Jefferson to 8% so that both bonds may give you the same return after tax.
Assuming that tax rate is 'x' then,
8 = 10 (1 - x)
8 = 10 - 10x
10x = 10 - 8
10x = 2
x = 20%
At a tax rate of 20%, the Corporate bonds give an 8% return.
