Answer:
Monthly payment = $769.27
Explanation:
First we have to determine the future value of the ordinary annuity:
Payment = $235.15
N = 20 * 12 = 240
Rate = 3.2% / 12 = 0.267%
Using a financial calculator and the FV function, the FV = $78,910.41
Again, using the financial calculator or Excel, you can determine the monthly payment:
N = 10 / 12 = 120
Rate = 0.267%
PV = $78,910.41
FV = $0
Monthly payment = $769.27
Answer:
The stock market tends to value diversified companies at less than their break-up value.
Explanation:
Conglomerate discount is only applicable to large, highly diversified business entities and it basically arises as a result of business analysts having difficulty finding an appropriate way to value group of businesses with complex financial statements.
Simply stated, the expression "conglomerate discount" means that the stock market tends to value diversified companies at less than their break-up value.
Hence, when a vast array of businesses aren't performing optimally as the overall conglomerate or there are issues with respect to its core values and financial statements, business analyst may have to apply the conglomerate discount concept.
In order to calculate the conglomerate discount, business experts add up various estimations of the intrinsic values associated with the respective subsidiary firms in a conglomerate and lastly, the market capitalization of the conglomerate is subtracted from that sum. Intrinsic value refers to a measure of the underlying value of a firm and its cash inflow.
Also, it's worthy of note that the sum of the various estimations is typically greater than the conglomerate stock values.
Answer:
Notes Payable, $10,000
Explanation:
The journal entry when the amount is borrowed is as:
On January 1
Cash A/c.........................Dr $10,000
Notes Payable A/c......Cr $10,000
Being amount borrowed from bank by signing the note
The journal entry which is to be recorded when made payment in full
On March 1
Notes Payable A/c...............................Dr $10,000
Interest A/c............................................Dr $133
Cash A/c..................................................Cr $10,133
Being the amount paid in full
Working Note:
Interest = Amount borrowed × 8% × Days / Number of days
= $10,000 × 8% × 60/365
= $133
Answer:
The answer is E.
Explanation:
Licensing is a business arrangement in which one company(Krispy Kreme) authorizes another company(Canadian company) permission to manufacture its product for a specified payment. The benefits for licensing are:
1. To create business opportunities by expansion
2. It makes an entry into foreign market easier
3. It reduces risk for the two parties.
Answer:
Customer Perceptions of value
Explanation:
The customer perception of value is also acknowledged as the value in marketing, it is described as the difference among the prospective of the customer evaluation or computation of the costs as well as the benefits of one product or service in comparison with others.
So, in this case, he studies the profile of customer, complaints and market research data in order to understand the customers want. Therefore, he is most likely to operate in the customer perception of value era of the marketing.
