A student purchases a laptop computer by obtaining a simple interest loan. The computer costs ₱35,000, and the interest rate on the loan is 8%. If the loan is to be paid back in weekly installments over 1 1⁄2 years, calculate: a. the amount of interest paid over the 1 1⁄2 years, b. the total amount to be paid back, and c. the weekly payment amount.

Q: Develop Rattner’s end-ofyear statement of stockholders’ equity. f. If the firm’s stock price at year...

A: EVA and MVA are the two methods used to value a company. EVA is the economic value added and MVA is ...

Q: 1. What is the present value of an ordinary annuity earning 8% interest compounded quarterly if a qu...

A: Present Value:  The present value is the value of cash flow stream or the fixed lump sum amount at t...

Q: How much new long-term debt financing will Esther’s need this year to finance its expected growth?

A: Long Term Debt Financing: It refers to the financing of funds taken by the company in form of long-...

Q: During 2021, Tom Sanchez purchased 200 shares of common stock issued by Tri State Manufacturing for ...

A: Profit is referred as the financial benefit, which used to realize at the time of the generation of ...

Q: For the given cash flows, suppose the firm uses the NPV decision rule. Year Cash Flow 0 –$ 148,000 1...

A: NPV = sum of all PVs (present value) PV in a year = cash flow in the year * PVIF PVIF = 1/(1+r)^n wh...

Q: Synovec Corporation is expected to pay the following dividends over the next four years: $6.00, $17....

A: The required return on stock is 9%. Growth rate in dividends is 5%.

Q: You own a house along a river that floods severely and destroys the house once every 30 years. If yo...

A: With insurance policy that offers full insurance - Without seawall, the expected loss is = $200,000 ...

Q: Current market price of ABC stock = $77 ABC stock price after 30 days = $80 ABC stock price after 45...

A: Current stock price is $77 Exercise price of european put option is $82 Stock price after 30 days is...

Q: Question 3 You know you will receive $1,450 each month in Social Security payments in retirement. As...

A: An annuity is referred as the fixed amount of the funds, which will be provided to an individual for...

Q: Chelsea FC has $15 million debt outstanding due next year and currently has $8 million cash. Chelsea...

A: Expected return if Ronaldo is hired by the clubs with weighted average revue under various scenarios...

Q: in one year, the primary concern

A: Step 1 Before investing in a bond, understand two things about risk: your risk tolerance and the ris...

Q: A student borrowed P50,000 she he was freshmen in college to finance his education expenses. He is r...

A: Borrowing Amount = 50,000 N = 5 equal installments T = deferrment period = 1 year Interest rate = 10...

Q: Tony's Pizzeria plans to issue bonds with a par value of $1,000 and 10 years to maturity. These bond...

A: Par value of bond = $1000 Semi annual coupon amount = $45 Market price = $937.79 Years to maturity =...

Q: Biarritz Corp. is growing quickly. Dividends are expected to grow at a rate of 29 percent for the ne...

A: A model that helps to evaluate the value of the stock by discounting the dividend earned on the stoc...

Q: The NATO Co. has a revolving line of credit of P300,000 with a one-year maturity. The terms call for...

A: Solution:- Annual cost of financing means the total finance charges paid by the borrower to the lend...

Q: Which one of the following statements is true?

A: Bond: A bond represents a debt instrument issued to a debt holder by the company. The debt holder r...

Q: Assume that you are about to sell property (a vacant parcel of real estate) you own but otherwise ha...

A: Here, Selling price for the property = $410,000 Rate of interest = 11% Number of years = 20 years To...

Q: Your parents lent you $983 to pay your rent 3 months ago. You just paid them back today and gave the...

A: Solution:- Annual percentage rate means the annual stated rate after giving annualized effect to nom...

Q: ind the future value of the following annuities.

A: Future Value of Ordinary Annuity: It refers to the future value of annuity payments made at the end...

Q: Ann and Jack have been partners for several years. Their firm, A & J Tax Preparation, has been very ...

A: A business can take different legal forms like a sole proprietorship, partnership or a corporation.

Q: Equipment costing P1M is expected to produce 10,000 pieces of pipes during its econpmic life before ...

A: Given Economic Life Price = 1M for 10000 pieces Annual Production = 2500 pipes Scrap value = 50,000 ...

Q: An investment product offers a monthly rate of return of 5%. If Amy invests $1,000 today for this pr...

A: Given, Amount of investment= $1500 Rate of return of investment = 5% Principle = $1000

Q: National Co. uses about 200,000 yards of a particular fabric each year. The fabric costs P25 per yar...

A: The total annual cost is the cost of all the product cost including fixed and variable both. The dif...

Q: You are an Assistant Analyst in a financial institution in your Country. Your company is interested ...

A: a. Calculate the expected return of the bond when the market price is $700 by using the EXCEL RATE f...

Q: What will the bond sell for today?

A: Bond: It is a debt instrument issued by the company to raise debt capital from the investors. The in...

Q: How do you set up a two-stage dividend growth model on excel?

A: Companies with an uncertain initial growth rate can be valued using the two-stage model. In the seco...

Q: Boilermaker Design, Inc. (BD) has an employment contract with its newly hired CEO. The contract requ...

A: N = 3 Rate = 8% Future Value Required = 5,000,000

Q: If the revenue is P800,000.00 and the total asset turnover is 2.5x, what is the amount of total asse...

A: Revenue = P800,000 Asset turnover ratio = 2.5x  

Q: A house owner plans to buy a fire insurance for his house worth $100000, suppose there is 10% chance...

A: The main purpose of fire insurance is to cover the person from various losses that may arise from fi...

Q: Mark is an investor who sells a share of a stock for $2000.00. In two years, Mark decides to close t...

A: Hair cut mark is 300 Annual effective short rebate is 2% Selling price is $2000 Buying price is $2,6...

Q: ($70) $90 $?] $350 ($67) $0 $240 ($12) $44 ($4) ($87) $0 Net Income Charges in Working Capital FCFO ...

A:

Q: When finding the covariance, should 2 stocks be used or can it be calculated using 1 stock and the m...

A: Covariance is referred as the statistical toll, which helps in determining the relationship between ...

Q: How large must each annual payment be if the loan is for $60,000? Assume that the interest rate rema...

A: Given: Loan = $60,000 Interest rate = 12% Year = 5

Q: Use the TVM calculator to determine the future value of the investment after 38 years

A: Future Value: It represents the future worth of the present annuity stream of cash flows. The futur...

Q: On June 1, 2021, Java Company issued 10% bonás payable with face amount of P6,000,000 to yield 12%. ...

A: To Find: Market price of bond. Effective interest amortization table Journal entries for 2021 and 2...

Q: BC Corporation plans to issue pieces of 12%, 10-year, P1,000 face value bonds that pays semiannually...

A: Price of bond is sum of coupon payments and present value of par value of the bond. And yield to mat...

Q: Sonnie's payments will be deferred for 3.25 years. How much should Bonnie be willim roperty if inter...

A: The present value the future payments will be without interest the payment for principal payment and...

Q: Credit Card Debt 2.) At the end of January your credit card balance is $3575.00. The bank that issue...

A:

Q: Consider an investor who purchases a Treasury inflation-indexed note with an original principal amou...

A: Treasury inflation-index note guarantees return more than the inflation index and consumer price ind...

Q: A business is generating an annual income of $19,000 for the next ten years with a salvage value of ...

A: Here, Annual Income is $19,000 Salvage Value is $190,000 Interest Rate (r) is 10% Time Period (n) is...

Q: Spotless Cleaning Ltd wishes to evaluate an investment on a particular washing machine. In your role...

A: Net present value is the difference between present value of cash inflows and present value of cash ...

Q: a) You are planning to retire in 25 years time. Immediately after your retirement, you wish to go fo...

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any ...

Q: QUESTION 17 1. A principal may not revoke an agency contract if the agent has an interest in the sub...

A: As per the guidelines in case of multiple question we are supposed to do the first question.

Q: Bausch Company is presented with the following two mutually exclusive projects. The required return ...

A: We will first find out IRR and NPV then we will select the project with the highest NPV.

Q: An electrical engineer who is anticipating paying for his daughter’s college education plans to star...

A: Calculate the future value of the deposits by using the EXCEL FV function as follows: Working: Thu...

Q: Payout Policy. House of Haddock has 5,000 shares outstanding and the stock price is $100. The compa...

A: Value of a company Total value of the company is the current stock price times the number of shares ...

Q: How can a small-business owner or corporate manageruse financial leverage to improve the firm’s prof...

A: Financial leverage means raising capital by borrowing or issuing debt. If the company uses more fina...

Q: You are considering purchasing shares in First Dawn Inc. Your research reveals the dividend trend fo...

A: Dividend per share is the amount paid to the shareholders from earnings available to the shareholder...

Q: A coin sold at auction in 2017 for $1,252,000. The coin had a face value of $5 when it was issued in...

A: Rate of Return can be calculated as the net gain or loss earned by an investment divided by the net ...

Q: lolanda purchased a Treasury bond with a coupon rate of 2.62% and face value of $100. The maturity d...

A: Treasury bonds pay semiannual coupons Face value (F) = $100 Coupon (C) = (2.62% of $100) / 2 = $1.31...