Answer:
Cost of machine = $73,897.99
Explanation:
The cost of machine to Swifty Corporation the present value pf the ordinary annuity payment of $20,500 per year discounted at the interest rate of 12%.
Note that the annuity is an ordinary annuity because annual payment is made at the end of the year.
Present value of ordinary annuity= annuity factor× annual payment
Present value of ordinary annuity = 20,500× 3.60478= $73,897.99
Cost of machine = $73,897.99
Answer:
Socially responsible
Explanation:
A socially responsible company is one that seeks to identify as well as relieve the social needs in its business environment.
A major social problem or need around the world is the lack of clean drinking water and birthing services. Thus, by proffering solutions to this problem loyal customer of TOMS shoe company could notice that the company takes seriously its responsibility to the society.
Answer:
B. $15,556
Explanation:
As given in the question
Face value of bond = $400,000
Carrying value of bond = $388,900
Discount from par value = $11,100
Coupon rate = 3%
Bond yielding rate = 4%
Interest revenue for the year = Carrying value of bond x Bond yielding rate
Interest revenue for the year = 388,900 x 4%
Interest revenue for the year = $15,556
The correct option is B. $15,556.
Answer:
Free cash flow (FCF) is, essentially, the cash flow that is available for interest and dividends after the company has made the investments in current and fixed assets that are necessary to sustain ongoing operations. (A)
Explanation:
Option A- This statement is true.
Option B- This is false. After-tax operating Income is calculated as Operating profit less interest less Depreciation and less tax
Option C-This is false. They will have the same operating incomes. Operating income is calculated as Sales less operating cost.
Option D- False.
Option E- False.