Answer:1. Executive airplanes
2. Brand names
3. Bonds
4. Investment or capital budgeting
5. Financing
Explanation:
Companies properties consist of assets with physical attributes called tangible such land and those without physical attributes refers to as intangible assets such goodwill, trade marks etc, firms can raise capital by selling bonds which is a debt equity or selling stocks which is a proprietary equity, decision on buying or spending or capital project is called investment or capital budgeting decision and the mode of raising money for expenditures is called financing decisions.
Answer:
Task 1:
The answer is $700.
Task 2:
The answer is $130.
Task 3:
The answer is $20.
Task 4:
The answer is $10,570.
Task 5:
The answer is $110.
Explanation:
<h2>Task 1:</h2><h3>How much does each investor make on his investment with the 7% rate of return?</h3><h3>Solution:</h3>
Adrian & Clemens makes [$10,000*0.07] on their investment = $700.
<h2>Task 2:</h2><h3>How much does Adrian pay in fees for his actively managed mutual fund?</h3><h3>Solution:</h3>
Adrian owes to his broker = (10000*.013) = $130
<h2>Task 3:</h2><h3>How much does Clemens pay in fees for the index fund?</h3><h3>Solution:</h3>
Clemens owes to his broker= ($10000*.002) = $20
<h2>Task 4:</h2><h3>At the end of the year, what's the total value (AFTER FEES) of Adrian's mutual fund?</h3><h3>Solution:</h3>
Value of Adrian's stock = $10000+$570 (net of brokerage) = $10,570
<h2>Task 5:</h2><h3>What's the total value (AFTER FEES) of Clemens's index fund?</h3><h3>Solution:</h3>
Value of clemens' stock = $10000+$680 (net of brokerage) = $10,680
<h2>Task 6:</h2><h3>How much more value does Clemens' investment generate than Adrian's in one year's time?</h3><h3>Solution:</h3>
Clemens investment makes ($680-$570) than adrian's investment = $110
E. You can send a presentation via email instead of having to fly to a customer.
The right answer for the question that is being asked and shown above is that: "corporate bonds."The cash flows for a perpetuity continue into the future indefinitely. An example of a perpetuity is: <span>corporate bonds</span>
Answer:
option (c) $875 per year
Explanation:
Given;
Average cost of collision claims for careful drivers = $500 per year
Average cost of collision claims for for poor drivers = $3000 per year
Poor drivers known by the company = 15%
thus,
Careful drivers = (100% - 15%) = 85%
Therefore,
Insurance company's breakeven price for the collision insurance
= (Poor drivers known × Average cost of collision for poor drivers ) +( Careful drivers × Average cost of collision claims for careful drivers)
= 0.15 × $3000 + 0.85 × $500
= $450 + $425
= $875 per year
Hence, the correct answer is option (c) $875 per year
