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masha68 [24]
3 years ago
10

Two years from now, your mother will receive the first of three annual payments of $20,000 from a small business project. If she

can earn 9 percent annually on her investments and plans to retire six years after the last payment, how much will the three business project payments be worth at the time of her retirement?
Business
1 answer:
Zarrin [17]3 years ago
5 0

Answer:

i think FV(10) is 110,000.

Explanation:

Suppose today is 1/1/2000, two years from now, ur mom will get the first payment in 2002, and then the second is 2003, and the last is in 2004. U can calculate those number to bring it back to 2000, so u can calculate PV= 46,446 .Then, from 2004, ur mom plans to retire six years later from 2004, which means,2010 (she will begin retire in 2010, last day of 2009, 31/12/2009). Then u will calculate the FV= PV.(1+9%)^10= 110,000

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If abc company earned $280,000 in net income and paid cash dividends of $40,000, what are abc's earnings per share if it has 80,
Nadya [2.5K]
<span>To find earnings per share, simply divide the company's net income by the number of shares that are outstanding. In this case, the values are $280,000/80,000. This gives a value of $3.50 for the earnings per share outstanding. Dividends, in this case, are not necessary for the calculation.</span>
3 0
3 years ago
Condensed financial data are presented below for the Phoenix Corporation:
Solnce55 [7]

Answer:

Part 1.

3.1 times

Part 2.

a. total assets

Part 3

d. the company's ability to generate sufficient cash to repay debt when due.

Explanation:

<u>For Part 1</u>

Inventory turnover measures the activity of liquidity of a company`s inventory. The higher the ratio in comparison, the more efficient the inventory is managed.

<em>Inventory turnover = Cost of Sales ÷ Inventory</em>

therefore,

Inventory turnover = $982,500 ÷ $ 312,500 = 3.1 times

<u>For Part 2</u>

In a common-size Balance Sheet, each item is expressed as a percentage of total assets whereas in a common size Income Statement, Sales revenue is expressed as 100 % and every other item is expressed as a percentage of sales revenue.

<u>For Part 3</u>

Solvency or Liquidity is the ability of short term assets to cover short term liabilities. Also put, it is  the company's ability to generate sufficient cash to repay debt when due.

5 0
2 years ago
You are scheduled to receive a $500 cash flow in one year, a $1,000 cash flow in two years, and pay an $800 payment in three yea
Sunny_sXe [5.5K]

Answer:

present value = $9320.06

Explanation:

given data

cash flow 1 year C1 = $500

cash flow 2 year C2 = $1000

pay 3 year C3  = $800

interest rates  r = 10 percent per year = 0.10

solution

we get here present value that is

present value = \frac{C1}{(1+r)} +\frac{C2}{(1+r)^2} +\frac{C3}{(1+r)^3}   ....................1

put here value and we will get

present value =  \frac{500}{(1+0.10)} +\frac{10000}{(1+0.10)^2} +\frac{800}{(1+0.10)^3}

present value = $9320.06

7 0
3 years ago
A company's issued share capital throughout an accounting period consists of 500,000 common shares of 20 cent each and 100,000 p
ella [17]

Answer:

a. $0.30

Explanation:

Basic Earning Per Share (BEPS) = Earnings Attributable to Holders of Common Stock ÷ Weighted Average Number of Common Stock.

Earnings Attributable to Holders of Common Stock calculation :

Net income after tax for the period                            $160,000

Less Preference Dividend                                           ($10,000)

Earnings Attributable to Holders of Common Stock $150,000

Weighted Average Number of Common Stock calculation :

Outstanding common shares                                      500,000

Therefore,

Basic Earning Per Share (BEPS) = $150,000 ÷ 500,000

                                                     = $0.30

7 0
3 years ago
A car dealer advertises a rock-bottom price for a sports utility vehicle that usually goes for $1,000 or more. When you get to t
maria [59]

Answer:

b. bait pricing

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This is considered an illegal means of marketing.

I'm the given instance when the customer got to the dealership the salesperson can't find that particular car on the lot, saying maybe it was sold this morning before he got in. The salesperson offers a higher-priced car.

This is bait pricing strategy.

3 0
3 years ago
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