A house sells for $317,000 and a 5% down payment is made. A mortgage is secured at 4% for 40 years. Compute an amortization schedule for the first 3 months. Round your answers to two decimal places, if necessary. The value of the mortgage is $301,150 and the monthly payment is $1258.81.
Q: Technical analysis' goal? Explain how technicians utilise it to enhance investment timing.
A: Technical analysis is a methodology used to evaluate financial markets and make investment decisions…
Q: e dismantling , removal and restoration costs are 750 000. an appropriate discount rate (after tax)…
A: The present value is equivalent value today based on the interest rate and time of the future cash…
Q: Arithmetic and geometric returns. A stock had returns of 29%, 14%, 22%, -8%, 9%, and -14% over the…
A: Arithmetic mean is the average of all the returns given whereas geometric mean is the exponential…
Q: , the investor owns a part of the company. O 2. A corporation guarantees interest payments to a bond…
A: So from the investor perspective when there is decision regarding investment in the bonds or…
Q: QUESTION 3 a. Companies A and B have been offered the following rates per annum on a £20 million…
A: SWAP is an instrument which allows an individual to switch the interest rate applicable with another…
Q: Sales (in millions) TVs 2 0 Computers Phones 2017 2.8 1.2 4.5 2018 2.5 1.1 4.8 TVS In which year…
A: The product sales or revenue is said to be the total benefit that generate for the company. The…
Q: What are the major instruments traded in capital markets?
A: The capital market helps provide a platform where financial instruments are issued by the firms to…
Q: Suppose you have a student loan of $25,000 with an APR of 12% for 20 years. Complete parts (a)…
A: We need to use loan amortisation formula to calculate monthly payment of loan. The formula is PMT…
Q: Exactly 5 years ago, a loan was taken out that was to be repaid by level annual instalments made in…
A: A loan is borrowed money that must be repaid with interest over a specified period, commonly…
Q: 3. Susan manages a portfolio with an average return of 11%, standard deviation of 15% and beta of…
A: Treynor ratio measures the excess return on a portfolio per unit of the systematic risk or beta of…
Q: Using a compound interest calculator, if you would deposit $10 each week into a savings account that…
A: Deposit = $10 Interest rate = 3.75% compounded monthly Period = 5 years
Q: 9 _0 A 2 Answer 3 4 Bayandor Steel Corp invested $560,000 in a new torch for one of its smelters. At…
A: It is a case of calculating sem-annual savings for 20 semi-annual periods (10 years) so that the…
Q: How specifically can it be argued that integrating internet technology into a company's operations…
A: Integrating internet technology into a company's operations can have a significant impact on process…
Q: The Stewart Company has $1,933,000 in current assets and $715,210 in current liabilities. Its…
A: Ratio analysis is a method of financial analysis that entails calculating and analyzing numerous…
Q: Find balance after seven years $250 deposit at 3.8 interest rate quarterly.
A: Compound = Quarterly = 4 Time = t = 7 * 4 = 28 Present value = pv = $250 Interest rate = r = 3.8 / 4…
Q: nas Corporation issued 16% p.a., 10-year Debenture bond, P6,000 face value, interest due every 4…
A: The periodic coupon payment is calculated as shown below. Periodic Coupon payment=Par value×Periodic…
Q: Finance Consider the following information for a mutual fund, the market index, and the risk-free…
A: Given: Year Fund Market rate Risk free rate 2008 -21.20% -40.50% 2% 2009 25.10% 21.10% 4%…
Q: Present value index Tasty Doughnuts has computed the net present value for capital expenditure at…
A: The PVI of a project refers to the ratio of the PV of cash inflows to the PV of cash outflows. It is…
Q: The financial manager of JAC Cosmetics is considering opening a lockbox in Pittsburgh. Checks…
A: Increase in per day cash balance due to box is (26,000*3days)…
Q: Year Sales 1 270 Growth versus Prior Year 12.5% EBIT (10% of Sales) 27.00 Less: Income Tax (20%)…
A: The present value of the free cash flows will give us the enterprise value. We can find the stock…
Q: Q.3. The following table gives data on four stocks: Stock Alpha A 1.1 B 1.3 C 2.3 D 0.5 Systematic…
A: The single index model refers to the method of finding a stock’s risk and return based on the fact…
Q: 1. A man was offered a landbank certificate with a face value of P 100,000 which is bearing an…
A: Here, Face Value of Certificate is P100,000 Coupon Rate is 6% Required Rate of Return is 8%…
Q: Graph the value of your portfolio as a function of the relevant stock price. Please create a graph…
A: The options refer to the derivative instruments that provide their holders the choice of…
Q: Consider an adjustable rate mortgage (ARM) of $195,000 with a maturity of 30 years and monthly…
A: An ARM is a type of mortgage. In this type of mortgage the interest rate fluctuates or change…
Q: A company purchased inventory worth $10,000 on credit. The supplier offers a 2% discount if the…
A: Purchase Price = p = $10,000Discount Rate if paid Within 10 days = r = 2%
Q: Consider the CEO of a U.S. financial Institution "Patriot Ltd" who is trying to tailor the needs of…
A: S = 85 (Spot price) X = 81 (Exercise price) t = 4/12 (4 months to expiration, which is equivalent to…
Q: Division You have been asked to estimate the beta of a high-technology firm, which has three…
A: Companies utilize the capital budgeting process to assess possible big projects or investments.
Q: William, a high school teacher, earns about $50,000 each year. In December 2022, he won $1,000,000…
A: We must take into account a number of variables and do calculations based on the relevant tax…
Q: Kia deposited $1,300, at the BEGINNING of each year for 26 years in a credit union account. If the…
A: Annuity = a = $1300 Time = t = 26 years Interest rate = r = 8%
Q: Calculate the Variance of the Rate of Return, Var(R)?
A: A B C D E F G probability Recession 0.35 7000 10000 -3000 -0.3 -0.105 Moderate 0.5…
Q: Vinny borrowed $29,000 for 10 years at 11.6 percent compounded quarterly. What will the ending…
A: To calculate the ending balance after Vinny has made three years of payments on a loan of $29,000 at…
Q: of Assume Evco, Inc. has a current stock price of $48.64 and will pay a $2.25 dividend in one year;…
A: We need to use one-period dividend discount model to calculate selling price of stock at end of…
Q: Find the future values of these ordinary annuities. Compounding occurs once a year. Do not round…
A: Future value is the estimated value of current assets that is discounted at an assumed rate of…
Q: Daysha bought a house with a mortgage of $395,100. The mortgage is being financed with an interest…
A: We need to use NPER function in excel to calculate number of payments in both ordinary annuity and…
Q: Alberto's bank guarantees him a return rate of 7.40% in year 2031, 8.40% in year 2032, 4.20% in year…
A: Here, Year Interest rate 2031 7.40% 2032 8.40% 2033 4.20% 2034 6.20% Year Investment…
Q: The 2020 balance sheet of Dugan, Incorporated, showed current assets of $2,945 and current…
A: Given, The current assets of 2020 are $2945 The current liabilities of 2020 are $1230 The current…
Q: You are a financial advisor working with a client named John. John is a 35-year-old professional…
A: To analyze John's student loan situation, we'll consider his goal of saving on interest and paying…
Q: You are given two options: Option 1: 2,000 dollars cash on January 1st Option 2: 150 dollars on…
A: The concept of TVM refers to the increase in the value of money received earlier because of interest…
Q: Two years ago, Kevin invested $9,400.00. Today, he has $10,800.00. If Kevin earns the same annual…
A: The FV of an investment refers to the cumulative value of its cash flows at a future date assuming…
Q: 1. Apple Bank makes a loan to Harry at 12.5 percent per year to be repaid by level annual payments…
A: Given, Loan Amount = $18,027.36 Loan Interest rate = 12.5%
Q: T/F: The acid-test ratio measures a company's liquidity by excluding inventory from current assets.
A: The given statement is True The acid-test ratio, also known as the quick ratio, is a financial…
Q: Present and future value tables of $1 at 3% are presented below. PVAD $1 N FV $1 PV $1 1 1.03000…
A: It is a question that requires calculating the initial deposit so that its value becomes $50000 in 5…
Q: Suppose you own a mutual fund that has 10,311,515 shares outstanding. If its total assets are…
A: NAV = (Total Assets - Total liabilities) / No of units Total Assets = $36,600,019 Total liabilities…
Q: On January 1, Ozero, Inc. issued a 20-year monthly bond with a face value of $1,285,000 that pays…
A: Bond period = 20 years Face value = $1,285,000 Coupon rate = 4% Interest rate = 5% Payment frequency…
Q: You buy a share of The Ludwig Corporation stock for $23.20. You expect it to pay dividends of $1.02,…
A: Here, Price of stock = $23.20 Dividend payment in year 1 = $1.02, year 2 = $1.0761, and year 3 =…
Q: Pari, a financial advisor, emphasizes to his clients the importance of asset allocation in…
A: Asset allocation is an investment strategy that involves dividing an investment portfolio among…
Q: You would like to be holding a protective put position on the stock of XYZ Co. to lock in a…
A: Put option is one of the options which gives the holder the right to sell the assets underlying the…
Q: Chris Seals has just given an insurance company $62,525. In return, she will receive an annuity of…
A: Investment amount (PV)=$62,525 Annuity amount (PMT)=$7,458 Time period (N)=12 years Future value=$0…
Q: You have sold a put option on British pound and receive $0.03 per pound. The exercise price is $0.75…
A: Receive amount on the sale of put option=$0.3 per pound Exercise price =$0.75 per British pound…
A house sells for $317,000 and a 5% down payment is made. A mortgage is secured at 4% for 40 years. Compute an amortization schedule for the first 3 months. Round your answers to two decimal places, if necessary. The value of the mortgage is $301,150 and the monthly payment is $1258.81.
Step by step
Solved in 3 steps with 2 images
- Identification 4. Purchasing it, you are essentially loaning money to the company for a specific period of time.Multiple-step income statement and report form of balance sheet The following selected accounts and their current balances appear in the ledger of Clairemont Co. for the fiscal year ended May 31, 2016: Instructions 1. Prepare a multiple-step income statement. 2. Prepare a statement of owners equity. 3. Prepare a report form of balance sheet, assuming that the current portion of the note payable is 50,000. 4. Briefly explain (a) how multiple-step and single-step income statements differ and (b) how report-form and account-form balance sheets differ.QUESTION 8 Classify the following items into assets, liabilities, or owner’s equity. a. Office equipment ______ b. Freehold premises _______ c. Capital _________ d. Mortgage on buildings____ e. Debtors _____ f. Short-term loan _________ g. Long-term loan ________ h. Drawings _________ i. Bank ____________ j. Bank overdraft ________ k. Creditors __________ l. Net profit _____
- 26) Insurance premium paid in advance to insurance company is an example of: a. Accrued revenue b. Accrued expense c. Prepaid expense d. Outstanding expenseParrish 2-5 and 2-6 Pg 35 Please tell me if the following are A, L, or EQ 1) Accounts Receivable 3) Wages Payable 5) Interest Receivable 6) Taxes Payable 3) Bonds Payable 4) Furniture and Fixtures 6) Interest Payable 9) Patents and copyrights 10) Short term investmentsSUBJECT: Financial Accounting and Reporting Instruction: Choose the Debit and Credit Accounts of the following transactions. TRANSACTION: Opened an account with Bank and made initial deposit1. Debit *a. Cash In Bankb. Accounts Receivablec. Unused Laundy Suppliesd. Prepaid Insurancee. Equipmentf. Accounts Payableg. Unearned Incomeh. Amora, Drawingi. Amora, Capitalj. Service Incomek. Salaries ExpenseL.Taxes and Licensesm.Transportation 2. Credit *a. Cash In Bankb. Accounts Receivablec. Unused Laundy Suppliesd. Prepaid Insurancee. Equipmentf. Accounts Payableg. Unearned Incomeh. Amora, Drawingi. Amora, Capitalj. Service Incomek. Salaries ExpenseL.Taxes and Licensesm.Transportation TRANSACTION: Bought Equipment on Account3. Debit *a. Cash In Bankb. Accounts Receivablec. Unused Laundy Suppliesd. Prepaid Insurancee. Equipmentf. Accounts Payableg. Unearned Incomeh. Amora, Drawingi. Amora, Capitalj. Service Incomek. Salaries ExpenseL.Taxes and Licensesm.Transportation 4. Credit *a. Cash In…
- Mark with an “X” the box that indicates the normal balance and the correct presentation of the following accounts. The accounts are: (1) ASSETS (A) DR (B) CR (2) DEBTS (A) DR (B) CR (3) CAPITAL (A) DR (B) CR (4) INCOME EXPENSES (A) DR (B) CR Ex. Bonuses payable (2B) X 1 Bonus premium payable (1A) (1B) (2A) (2B) (3A) (3B) (4A) (4B) 2 Discount on document payable - short term (Discount on notes payable) (1A) (1B) (2A) (2B) (3A) (3B) (4A) (4B) 3 Cost of guarantees (1A) (1B) (2A) (2B) (3A) (3B) (4A) (4B) 4 Gain on debt restructuring (1A) (1B) (2A) (2B) (3A) (3B) (4A) (4B) 5 Land that is received in exchange for the issuance of a long-term payable document (Long term notes payable) (1A) (1B) (2A) (2B) (3A) (3B) (4A) (4B) 6 Guarantees payable (1A) (1B) (2A) (2B) (3A) (3B) (4A) (4B) 7 Contingent liability-litigation (1A) (1B) (2A) (2B) (3A) (3B) (4A) (4B) 8 Bonus for paying executives (bonus payable) (1A) (1B) (2A) (2B) (3A) (3B) (4A) (4B) 9 Social security payable…Parrish Homework 1 (What type of account) Please tell me what the following accounts are. Example: Asset, Liability, Equity, Expense, Revenue etc. Also if it is REAL or NOMINAL 1) Interest Income 2) Smith, Drawings 3) RE 1/1 BalanceProblem #10 Transactions in a Completed Worksheet Nine transactions are reflected in the October transaction worksheet of the Teresit Galang Financial Planner presented below: Teresita Galang Financial Planner Financial Transaction Worksheet Month of October 2021 OE Galang, Capital Cash Accounts Supplies Office Accounts + Receivable Equipment Payable P 15,000 7,000 (5,000) Bal. P 17,500 P 4,500 P 153,000 P 60,000 P 130,000 %3D 1 n (7,000) 5,000 3 25,000 25,000 24,500 24,500 (16,000) 5 16,000 (6,500) 3,700 6. (6,500) %3D 3,700 8 %3D (2,500) (5,000) P 3,000 9. (2,500) (5,000) P 131,000 P 35,000 P 13,200 P 178,000 P 98,200 %3D P 229,200 P 229,200 Required: 1. Describe each of the above transactions. The last transaction is the only transaction affecting the capital account that does not affect profit. 2. What was the change in the Cash account for the month? In Galang, Capital?
- 2. Debts (liabilities) refers to: a. Any account that maintains a credit balance after closing entries are made. b. Deferred credits that are recognized and measured in accordance with generally accepted accounting principles. c. Obligations to transfer in the future the participation of the owners' shares. d. Obligations arising from past transactions and which will be payable with assets or services rendered in the future.SUBJECT: Financial Accounting and Reporting Instruction: Choose the Debit and Credit Accounts of the following transactions. TRANSACTION: Paid employees salaries1. Debit *a. Cash In Bankb. Accounts Receivablec. Unused Laundy Suppliesd. Prepaid Insurancee. Equipmentf. Accounts Payableg. Unearned Incomeh. Amora, Drawingi. Amora, Capitalj. Service Incomek. Salaries ExpenseL.Taxes and Licensesm.Transportation 2. Credit *a. Cash In Bankb. Accounts Receivablec. Unused Laundy Suppliesd. Prepaid Insurancee. Equipmentf. Accounts Payableg. Unearned Incomeh. Amora, Drawingi. Amora, Capitalj. Service Incomek. Salaries ExpenseL.Taxes and Licensesm.Transportation TRANSACTION: Paid business permits3. Debit *a. Cash In Bankb. Accounts Receivablec. Unused Laundy Suppliesd. Prepaid Insurancee. Equipmentf. Accounts Payableg. Unearned Incomeh. Amora, Drawingi. Amora, Capitalj. Service Incomek. Salaries ExpenseL.Taxes and Licensesm.Transportation 4. Credit *a. Cash In Bankb. Accounts Receivablec. Unused…Identify the relevant transaction for this entry: Assets Owner’s equity Liabilities +R8000 +R8000 0 Received R8000 cash for debtors R8 000 cash paid for rent Cash sales of inventory R8 000 Received R8 000 cash for rent
