Answer:
c) -$877,874d
Explanation:
Net present value is the present value of after tax cash flows from an investment less the amount invested.
NPV can be calculated using a financial calculator
Cash flow in :
Year 0 = $-2,225,000
year 1 = $375,000
year 2 = $425,000
year 3 = $400,000
year 4 = $475,000
I = 9%
NPV = $-877,873.94
Answer:
$26.50
Explanation:
The computation of the predetermined overhead rate is shown below:
= Variable overhead rate + fixed overhead rate
where,
Variable overhead rate is $8.30
And, the fixed overhead rate is
= $145,600 ÷ 8,000 direct labor hours
= $18.2
So, the predetermined overhead rate is
= $8.30+ $18.2
= $26.50
We simply added the available overhead rate and the fixed overhead rate so that the predetermined overhead rate could arrive
A) acceptable, provided the securities are used as collateral for the loan and the loan conforms to the provisions of Regulation T.
B) acceptable, provided the loan is made under the provisions of Regulation T of the Federal Reserve.
C) unethical.
D) acceptable, provided the securities are used as collateral for the loan.
Answer: Unethical
Explanation: Based on the model and policy of the North America Securities Administrator's Association, the investment adviser cannot lend money to a customer to purchase recommended securities under the guise of being partners, such behavior is deemed UNETHICAL and in violation of the rule binding the practices and investment advisers and investment adviser representatives.
Customers can purchase securities by taking loans from recommended or regulated lender, broker or bank.
