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maxonik [38]
2 years ago
14

The Omega Corporation has some excess cash it would like to invest in marketable securities for a long-term hold. Its Vice-Presi

dent of Finance is considering three investments: (a) Treasury bonds at a 11 percent yield; (b) corporate bonds at a 14 percent yield; or (c) preferred stock at an 12 percent yield. Omega Corporation is in a 40 percent tax bracket and the tax rate on dividends is 10 percent.
Required:
a. Compute the after-tax yields for the three investment options. (Do not round intermediate calculations. Input your answers as a percent rounded to 2 decimal places.)
b. Which one of the three investments should she select based on the after-tax yields?
Business
1 answer:
Leokris [45]2 years ago
4 0

Answer:1

Explanation:

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You have $7,800 to deposit. Regency Bank offers 6 percent per year compounded monthly (.5 percent per month), while King Bank of
hammer [34]

Answer:

Instructions are listed below.

Explanation:

Giving the following information:

PV= $7,800

Regency Bank:

i= 0.5 percent per month

n= 19*12= 228

King Bank:

i= 6 percent annually

n=19

To calculate the final value of each bank we need to use the following formula:

FV= PV*(1+i)^n

Regency bank:

FV= 7,800*(1+0.005)^228= $24,319.61

King bank:

FV= 7,800*(1.06)^19= $23,599.68

6 0
3 years ago
Juanita and Sam attend a beach party and notice that the local beach appears to have a great deal more trash washed up on shore
Marat540 [252]

Answer:

The answer is talking to a local environmental group for solutions.

Explanation:

This option is the best one for Juanita and Sam to take since they both need someone who have more expertise in this field to help them determine the best solution to the problem that they encounter, which is sea trash. The other options are unsuitable because they do not provide direct impact (such as picketing the guilty factory), unrealistic (lobbying their elected representatives), or have been done (identifying the changes and problem).  

7 0
3 years ago
One disadvantage of a functional structure is that it cannot be converted into an ambidextrous structure. frequently lacks effec
soldier1979 [14.2K]

Frequently lacks effective communication channels across departments. Communication between departments can be an issue in this structure.

8 0
3 years ago
Carter co. sells two products, arks and bins. last year, carter sold 14,000 units of arks and 56,000 units of bins. related data
grigory [225]
The answer to the problem below is:

Carter Corporation sells two products, one is Arks and the other one is Bins. Last year, Carter Corporation was able to sell 14,000 units of Arks and 56,000 units of Bins. The related data are the following listed below:
 1. unit contribution, selling, unit variable and product
2. price cost margin
6 0
3 years ago
If you know that the value of an asset is $100 today, what concept will tell you what it will be worth in 5 years given a certai
Virty [35]

Answer:

future value

Explanation:

Future value is the value of a sum of money at some point in the future given a  certain interest rate.

Formula for future value = present value x ( 1 + r )^n

Assuming i = 10

the future value of $100 in 5 years = 100 x ( 1.1)^5 = $161.05

6 0
2 years ago
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