Answer:
Deposited amount will decrease by 1% and $2,000
Explanation:
Inflation rate will effect the value of money due to decrease in purchasing power of the currency holder.
We will use following formula to calculate the impact
Nominal rate = Real interest rate + Inflation rate
5% = Real interest rate + 6%
Real interest rate = 5% - 6% = -1%
The deposited amount will be decreased by 1%.
Deposit value = $200,000 x ( 1 - 1% ) = $198,000
Decrease in value = $200,000 - $198,000 = $2,000
Answer:
None of the options are correct as the price today will be $26.786
Explanation:
The price of a stock whose dividends are expected to grow at a constant rate forever can be calculated using the constant growth model of the dividend discount model approach (DDM). The DDM bases the value of a stock on the present value of the future expected dividends from the stock.
The formula for price under constant growth model is,
P0 = D1 / (r - g)
Where,
- D1 is the dividend expected for the next period
- r is the required rate of return or cost of equity
- g is the growth rate in dividends
However, as the constant growth rate in dividends is to be applied from Year 2 onwards, we will use the D2 to calculate the price at Year 1 and we will then discount this further for one year to calculate the price today.
P1 or Year1 price = 2 * (1+0.05) / (0.12 - 0.05)
P1 or Year 1 price = $30
The price of the stock today or P0 will be,
P0 = 30 / (1+0.12)
P0 = $26.786
Answer:
b. A truck held for resale by an automobile dealership
Explanation:
Property plant and equipment are physical or tangible assets used by an organization in the ordinary course of business. They include Land and building used in ordinary business operations, plant and machinery used in production, Land improvements, such as parking lots and fences etc. Such assets are usually depreciated as they are used and in accordance with the organization's policy. However, assets held for sale are not used by the organization in the ordinary course of business rather, the company holds them till such assets are sold. No depreciation is computed on the assets held for sale. Hence, from the options given, a truck held for resale by an automobile dealership is the only item held for sale and does not qualify for recognition as property plant and equipment. The right answer is b.
Answer:
$182,083
Explanation:
The computation of the total assets by considering the total assets turnover is shown below:
Total assets turnover = Sales ÷ total assets
2.4 = $415,000 ÷ total assets
So, the total assets equal to
= $415,000 ÷ 2.4
= $172,917
So, the assets is reduced by
= Year-end total assets - calculated assets
= $355,000 - $172,917
= $182,083
Okay i'm trying to find the rest of the answers but heres most of them:
1. Approximately how many people watch the March Madness tournament? Approximately 140 million people watch march madness.
2. March Madness is second to only one other sporting event? What is it? March Madness is second to only the Super Bowl.
3. What percentage of the NCAA's revenue comes from men's basketball? How is this revenue generated? NCAA generated a revenue around 90%.
4. How did Nike first gain brand exposure through men's basketball? Explain. Vaccaro, the Chief among the NCAA’s critics, Had Nike give the players free shoes to wearing during games. After that happened teams started to become sponsored by Nike.
5. How does best-selling author Michael Lewis argue that playing college sports impedes athletes from getting an education? Michael Lewis argues about how student-athletes spend more time on sports then education.
