ABM Enterprise would like to evaluate/analyze an investment proposal. Given the following: Investment amount - 450,000 (2022) Dividends / Revenue stream - 100,000 for the first year and an interval of 5,000 for the succeeding years Discount rate - 14% a. NPV for the perio 2023 through 2029; b. Total NPV using manual computation; c. Total NPV using the Excel function; and d. IRR rate.

Q: w do yo

A: Introduction : A credit history can be understood as a history of a debtor's timely debt repayments....

Q: Consider two bonds. Bond A has a face value of ₱100,000 and a stated rate of 12%. Bond B has a face ...

A:

Q: a. What are the major regulatory objectives that must be satisfied in insurance rate making? b. What...

A: Rate making in insurance is the determination of premium that is to be charged  for insurance.    

Q: Warren Buffet, a novel financial expert has provided different investment principles and theories. H...

A: Investing is the process of allocating resources, usually money, in the expectation of profit or rev...

Q: A borrower received a 30-year ARM mortgage loan for $200,000. Rate caps are 3/2/6. The start rate is...

A: A variable-rate mortgage (ARM) is a type of house loan with a variable interest rate. The initial in...

Q: Marcus would like to save up $3 million for his retirement. He has chosen a stock index fund that ha...

A: Accumulated amount needed = $3 million r = 7.2% per annum = 0.6% per month n = 40 years = 480 months...

Q: First City Bank pays 8 percent simple interest on its savings account balances, whereas Second City ...

A: Compound interest is the additional interest earned on the reinvested amount. It is interest on inte...

Q: 3. A manufacturer has a fixed cost of $110,000 and a variable cost of $22 per unit made and sold. Se...

A:

Q: Craig’s Driving School’s 2013 balance sheet showed net fixed assets of $3.9 million, and the 2014 ba...

A: For calculation of net capital spending we can use below mentioned formula. Net capital spending = C...

Q: The present worth of this project is $ (Round to two decimal places as needed.) million.

A: Present Worth: It represents the present value of all future annuity payments or a future amount. It...

Q: Reading futures prices. Refer to Exhibit 7.2 for futures prices.a. What is the March 2012 futures pr...

A: Currency futures are futures contracts traded through exchange that shows us the price of one curren...

Q: Give 5 functions of the Securities Commission under section 15 of the Securities Commission Act (SCA...

A: The SCA was created on 1st March 1993. This commission is a statutory body funding its operations by...

Q: investor provides an entrepreneurial firm with the capital that it needs to grow. over and above pro...

A: The investors provide capital to business but alone capital is not sufficient to make business succe...

Q: Financial managers should consider this when.improving the financials of the firm

A: Financial managers function within the domian of financial management and here financial managers ma...

Q: Stock M has a relevant risk equals 1.75, and unsystematic risk equals 2. If the real risk-free rate ...

A: The Capital Asset Pricing Model (CAPM) refers to the model which tells us how the financial markets ...

Q: Solve for the unknown interest rate in each of the following (D

A: Interest Rate: It is the rate charged by the lender to the borrower for taking a loan. The interest ...

Q: ABC Investors is interested in purchasing the bonds of the XYZ Company. ABC's bonds are currently pr...

A: The YTM of the bond can be calculated with the help of RATE function of Excel 

Q: A stock has had the following year-end prices and dividends: Year Price Dividend $ 64.33 71.20 1 2 $...

A: Return means earning additional investment amount during the period. Return can be in the form of re...

Q: . How much will you have at the end of the 26 years? (Do not round intermediate calculations and rou...

A: Future Worth: It represents the future value of present periodic annuity payments or the future valu...

Q: The Best Manufacturing Company is considering a new investment. Financial projections for the invest...

A: Net present value (NPV) is the value of all the cash flow of the investment (positive and negative) ...

Q: Suppose that the current one-year rate (one-year spot rate) and expected one-year T-bill rates over....

A: For One-year The rate will be same as current one year rate or 1R1

Q: What is the fair value of the biological assets on December 31, 2021?

A: Biological assets means all type of living assets of the business. It includes livestock such as goa...

Q: Assuming a market rate of 7.6% over all maturities, the current yield of a bond with a coupon rate o...

A: Bonds: Bonds are the liabilities of the company which is issued to raise the funds required to finan...

Q: An investment promises to pay $3,500 per year for the next three years and then $4,000 per year for ...

A: Cash inflow for first three years = $3500 Cash inflow for the following two years = $4000 Discount r...

Q: Table 5.1 1 year 2 years 3 years 1.07% 1.50% 1.71% 72- Table 5.1 shows the actual interest rates for...

A: Note:  This question has multiple sub-parts. The first three have been answered below.     The Pure ...

Q: Bob Russell purchased a home theater system for $5200, paying $500 down. The balance was financed fo...

A: Loan is a value which is borrowed from external sources like banks and this amount is repaid later i...

Q: Upon further investigation, you have found that the amount of account payables for Companies A and X...

A: Working Note #1 Calculation of Creditor's turnover ratio (under Activity Ratio) Particulars A B ...

Q: in 1983 the average tuition for one year at an ivy league schoolwas $11,800.thirty years later,in 20...

A: The Growth rate is calculated by subtracting the past value from the current value. Then, divide tha...

Q: A no-load (commission-free) mutual fund has grown at a rate of 11% compounded annually since its beg...

A: Future Value of Annuity: It represents the future worth of current periodic annuity payments. It is...

Q: You want to invest in a project in Canada. The project has an initial cost of C$1.6 million and is e...

A: Net Present Value(NPV) is the difference between current value of inflows and outflows related to an...

Q: On February 1, 20x1, TSR Co. sold machinery with historical cost of P3,000,000 and accumulated depre...

A: A debt with no stated interest rate is known as a noninterest-bearing note. However, a noninterest-b...

Q: Your mother has an annuity that will give her monthly payments for 13 years. She tell you it is wort...

A: The term "annuity" refers to an insurance contract issued and distributed by financial institutions ...

Q: Theta Corporation receives checks from its customers. The total check value averages P700,000 each d...

A: Benefit or cost to be calculated on yearly basis, which means we have now received early and we can ...

Q: SITUATION 4: A forklift is worth P10.2M. It has a lifetime of 11 years and has a salvage value of 3....

A: Depreciation:- It is the reduction in cost due to normal wear and tear and effluxion of time. There ...

Q: Assume that the interest rate is greater than zero. Which of the following cash-inflow streams total...

A: Present Value(PV) refers to value of sum at current date which would be received or paid in future t...

Q: A borrower has secured a 30 year, $131,000 loan at 8% with monthly payments. Fifteen years later, th...

A: Loan Amount is $131,000 Time Period of Loan is 30 years Interest Rate is 8% Compounding Period is Mo...

Q: Consider the O&M costs on a piece of equipment until the end of the eighth year. You purchased a 3-y...

A: Discounting is a technique to compute the present value (PV) of future cashflows by using an appropr...

Q: A Zack Firm is evaluating an Accounts Receivable Change that would increase Bad Debts from 2% to 4% ...

A: Bad debt is an expense that a business incurs once the repayment of credit previously extended to a ...

Q: eter has saved $510 per month for the last years in savings account earning 4.2% ompounded semi-annu...

A: The future value of the money includes the deposit made and compound interest earned and this money ...

Q: From http://finance_yahoo.com/ the following current financial information for Apple Inc (AAPL), in...

A:

Q: Q3. A) If the supply price of machine is Rs. 3000 and Marginal productivity of capital is 10% , the ...

A: For Prospective income and supply price of an asset to be equal cost of capital must be at that rate...

Q: Which approach would most likely be used to appraise an apartment building? O Investment Method Sale...

A: Appraisal is very important in the case of property as appraisal will lead to the approval of loans....

Q: The aqua liquid money market mutual fund has nav $1 per share. During the year asset held by the fun...

A: Mutual Fund NAV is $1 per share Invested amount is $30,000 (start of the year) Fund appreciation rat...

Q: BUSINESS FINANCE Name: Grade & Section: General Directions: ALL FORMS OF ALTERATIONS OR ERASURES WIL...

A: Note : As per the guidelines, only first question will be answered. Kindly post the remaining parts ...

Q: Briefly tell us how you approach problems from a quantitative and qualitative perspective. ( Financi...

A: As a financial management intern I have to look into aspects of budgeting (making different types of...

Q: Rank the following from highest present value to lowest present value. A payment of $5000 to be rece...

A: Option 1. Payment of 5000 N = 5   Option 2. Payment of 5000 N = 2   Option 3. Payment of 2000 in 1 y...

Q: True or False Please answer both. 1. High cash flow is generally associated with a higher share pric...

A: Statement 1 : High cash flow is generally associated with a higher share price whereas higher risk t...

Q: Pミキo, $10,000 n=? i =3% A= $1000

A: The question is based on the concept of present value for annuity payments. An annuity is a fixed su...

Q: ccounts receivable 58,500 90,000 upplies 28,000 40,000 and quipment 360,000 300,000 120,000 1,066,50...

A: Given information : Assets 2019 2020 Cash 500000 400000 Accounts receivable 58500 90000 Sup...

Q: Find the maturity date, maturity value and proceeds of the below promissory note: Face Date Term Int...

A: A promissory note is a legal promise by one party to another party to pay a specific amount after a ...