Answer:
The correct answer is E. Initial public offering.
Explanation:
An Initial Public Offering (IPO) is an equity offering where a <u>private company</u> or '<u>issuer</u>' decides to <em>go public for the first time</em>. This is a big step for companies to raise capital through public investors, get access to better and more credit and further grow a company. To go through with an IPO, a company must meet the requirements of the Securities and Exchange Comission (SEC).
The process is made with the help of one or more <u>investment banks</u> that act as <u>underwriters</u>. Underwriters take care of the offering from the beginning to the end of the IPO by preparing documentation, providing proposals on selling price, amount of shares & timeframe for the market offering, marketing campaigns and going through the issuing process.
Answer:
Present value of interest is $5,062 and future value is $5,796
Explanation:
The formula for finding the Present value of the interest reported as revenue is calculated as under:
Present Value of $40,000 receivable in 2 years = $40,000 / (1+7%)^2
Present Value of $40,000 receivable in 2 years = $34,938
The difference of the future value receivable and present value of the future amount receivable is the interest's present value which is given as under:
Interest Present value = $40,000 - $34,938 = $5,062
Using the compounding formula, the future value of the interest that will be recorded in the financial statement will be = $5,062 * (1 + 7%)^2 years
Future value of interest = $5796
Answer: Interest rate risk
Explanation:
Interest rate risk is described as the potential for investment loss which result from a change in interest rates. The increase in interest rate declines tell value if a bond or other fixed-income investment, the change that occurs in these bond price is known as duration. Generally, it is the risk that arises for bond owners from fluctuating interest rates. The interest rate risk of a bond depends on how sensitive it's price is to interest rate changes in the market
Answer:
$1.05
Explanation:
Mean is 40 quartz per day
standard deviation is 6 quartz per day
Optimal orders = mean demand + Standard deviation
Optimal order = 40 + 6
= 46 quartz per day
$0.35 * 2.84 * 49 / 46
= $1.05
Answer and Explanation:
The classification is as follows
1. Investing activities : Since there is cash received from the sale of equipment so the same is to be shown in the investing activities in a positive amount
2. Investing activities
: Since there is cash paid for buy the long term investment so the same is to be shown in the investing activities in a negative amount
3. Financing activities
: Since the cash is received so the same is to be shown in the financing activities in a positive amount
4. Financing activities : Since the issuance of preferred stock is there so the same is to be shown in the financing activities in a positive amount
5. Financing activities : Since the cash is paid so the same is to be shown in the financing activities in a negative amount
6. Operating activities : Since the cash is received so the same is to be shown in the operating activities in the direct method as a positive amount
7. Operating activities : Since the inventories are purchased so the same is to be shown in the operating activities in the direct method as a negative amount
8. Operating activities
: Since the cash is paid so the same is to be shown in the operating activities in the direct method as a negative amount
9. Operating activities : Since the cash is paid so the same is to be shown in the operating activities in the direct method as a negative amount
10. Investing activities : Since the investment is sold so the same is to be shown in the investing activities in a positive amount