Analyse a debt ratio 2019 is 0.37 and debt ratio for 2020 is 0.40

Q: 27. Which of the following categories of a firm's total cash flows accounts for cash flows resulting...

A: A financial statement which gives information about the total cash inflows and outflows of a busines...

Q: A clothing company has determined that if the price of a T-shirt is K40, then 150 will be demanded b...

A: When Price (P) = 40, Demand (Q) = 150 When Price (P) = 45, Demand (Q) = 100 Let the price demand equ...

Q: Determine the amount of P 45000 after 9 years if the rate is 5% compounded quarterly. O 77329 O 7037...

A: Present value (PV) = P45000 Interest rate = 5% Quarterly interest rate (r) = 5%/4 = 1.25% Period = 9...

Q: Consider a newly issued 4-year, 3.11% annual-pay bond trading at par. The present values of each of ...

A: Macaulay duration It is the weighted average time required before the cash flows of the bond is rece...

Q: z is planning to attend college when she graduates from high school four years from now. She has mad...

A: Money deposited in the account grow with the time according to the interest rate and time of money. ...

Q: In order to overcome the differences in the preferences of surplus units and deficit usnits, it may ...

A: The large institution takes funds from the small investors and they prepare large amount of funds an...

Q: Adjustable Rate Payment Loan: $250,000.00 Term: 30 Years Pymt 1: Pymt 2: Pymt 3: 1st Year Rate: 3.00...

A: Loan Amount is $250,000 Term of loan is 30 years 1st year rate is 3.00% 2nd year rate is 4% 3rd yeae...

Q: 1. A P3000 loan was originally made at 8% simple interest for 4 years. At the end of this period the...

A: Simple interest is a straightforward method of calculating how much money you owe on a loan. To calc...

Q: 1.5 Mr Mol plan investment with a months plus an additional N$2000 at the end of 240 months. Dete th...

A: A bond is defined as the financial instrument that is used to raise capital from the market at a sta...

Q: You have researched your dream around-the-world vacation and determined that the total cost of the v...

A: Monthly saving (S) = $200 r = 9.5% per annum = 0.7917% per month Let n = Number of months needed to ...

Q: How to calculate the accrued interest for a 1000 par bond if the next coupon is payable in 74 days a...

A: Accrued interest refers to the interest amount that shall be paid by investor for purchasing the bod...

Q: * Shara Jane Mariano buys a 137,000 laundry business by paying 26,000 at the end of each year. At 8%...

A: The amortization table means a table showing the schedule of payments in each period including the i...

Q: You wish to buy a house. The market value of the house is $650,000 and you have saved $120,000 as a ...

A: Interest Rate = 6.5% Time Period = 26 Years Market Value = $650,000 Down Payment = $120,000  

Q: Survey Corps lends money to improve their equipment, P10,000 due in 2 years, P25,000 due in 3 years,...

A: Annuity refers to the payments being made at regular intervals. Ordinary annuity is one where paymen...

Q: xactly 140 years ago my great grandmother deposited $190 in a large bank. She forgot all about the d...

A: Here we can use the concept of time value of money. As per the concept money earns interest and henc...

Q: A tenter with $ 1189.08 has a one year lease. The landlord is willing to accept two payment options....

A: Present value of annuity due = $1189.08 Monthly payment (M) = $100 Let r = Monthly interest rate n =...

Q: Suppose a team operates in a stadium with 75,000 capacity and currently charges $85 per ticket, and ...

A: Annuity Annuity is a series of equal payment at equal interval for a specific period of time. With a...

Q: This is known as:

A: Fund refers to the money which should be kept aside for meeting some specific purpose. In this, the ...

Q: An endowment fund is providing an annual scholarship of P50,000 for the first five years, P60,000 fo...

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

Q: Edelman Engineering is considering including two pieces of equipment, a truck and an overhead pulley...

A: Cost of capital is 14% To Find: IRR NPV  MIRR

Q: Jarett & Sons' common stock currently trades at $25.00 a share. It is expected to pay an annual divi...

A: Cost of equity is the rate of return demanded by the common stock holders of a company. Out of all s...

Q: A 5-year project will require an investment of $100 million. This comprises of plant and machinery w...

A: "Hi, Thanks for the Question. Since you asked multiple sub parts question, we will answer first thre...

Q: Big Rock has several investment portfolios with a local mutual fund company. One of the company's di...

A: Risk and return are the two different factors of an investment. Different investors have different l...

Q: A 30 year 1/1 ARM has an initial rate of 3.75%. In the future, the rate will reset to 325 basis poin...

A: LIBOR at the first reset (After 1 year) = 1% In 1/1 ARM, interest rate resets 325 basis points above...

Q: Macrohard Software is considering a new project whose data are shown below. The equipment that would...

A: Operating cash flow means the total amount of cash flow generated by the company from its business o...

Q: A loan in the amount of $10,000 is being paid back with monthly payments of $1800. Determine the fol...

A: Here, Loan Amount is $10,000 Monthly Payments is $1,800

Q: 4. An annuity pays $6500 at the beginning of every year for 10 years. If the payments are deferred f...

A: The cash value of annuities is the present value of annuities considering the interest rate and peri...

Q: The current price of a stock is £205 and the annual continuously compounding risk-tree rate is 3%. A...

A: Here, Current Price of Stock is £205 Risk Free Rate is 3% Compounding is Continuous Compounding Firs...

Q: 8.4 Average Accounting Return Concerning AAR: Describe how the average accounting return is usually ...

A: Average accounting return (AAR) It is a capital budgeting decision tool. It helps to decide on wheth...

Q: A bank makes a 30 year Fully Amortizing FRM for $2,000,000 at an annual interest rate of 4.125% comp...

A: Here, Annual Interest Rate on Loan is 4.125% Time Period of Loan is 30 years FRM Amount is $2,000,00...

Q: Yukihira paid a 10% down payment of P200,000 for a restaurant and agreed to pay the balance of month...

A: We need to use the following equation to calculate monthly payment PMT =P*i1-1(1+i)n where PMT=month...

Q: A bank offers all savings accounts 5% interest compounded annually. If one account has a principal o...

A: An account doubles when the present value becomes 2 times of itself. In order to become two times, i...

Q: a. If the interest rate is 5.0% per year, approximately how long will it take for your money to quad...

A: As per Bartleby Honor Code, when multiple questions are asked, the expert is required only to solve ...

Q: /hich of the following statements most accurately characterizes the pecking order theory of capital ...

A: The pecking order theory of capital structure is an important theory of capital structure. The theor...

Q: Big Rock is listed on the local stock exchange and its stock has had mixed performance over the last...

A: Hi There, thanks for posting the question. But as per Q&A guidelines, we must answer the first t...

Q: A car was bought on an installment basis with a monthly installment of P30,000 for 60 months. If the...

A: Present Value of Ordinary Annuity refers to a concept that determines the value of cash flows at pre...

Q: Indicate the effects of the transactions listed, on current assets, current ratios and net income. ...

A: Fixed assets are those assets which are being held by the business for longer period of time. For ex...

Q: 1. Compute the cost of equity for this project  2. Compute the relevant cost of debt for this projec...

A: Weighted average cost of capital (WACC) refers to the combined cost of company's capital from all th...

Q: The Macaulay duration is the weighted average number of coupon periods until a bond’s scheduled cash...

A: Macaulay Duration: It is used to calculate the duration of bonds, which is a measure of the sensitiv...

Q: 10. NPV versus IRR Piercy, LLC, has identified the following two mutually exclusive projects: Year C...

A: NPV is the difference between present value of cash inflows and INTIAL INVESTMENT NPV =PV of all cas...

Q: Suppose the next MMO trade represents a sale of 200 shares at a price that is $0.33 lower than the l...

A: MMO Last trading price is $13.82 MMO Tdaded volume are 0.78K or 780 shares MMO share is up by 1.87% ...

Q: Explain what a corporate bond is b. Outline the characteristics of the bond market d. Explain the be...

A: A company can raise capital and secure financing through different mediums of debt and equity. Corpo...

Q: 5. Calculating IRR A firm evaluates all of its projects by applying the IRR rule. If the required re...

A: Year Cash flow 0 -157300 1 74000 2 87000 3 46000

Q: DFB, Inc. expects earnings next year of $4.73 per share, and it plans to pay a $3.09 dividend to sha...

A: According to Gordon’s growth model, it is assumed that the market price of a share is calculated as ...

Q: John has been asked to evaluate whether it would be better to lease an asset or to borrow money from...

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

Q: A sum of P1,000 is invested now and left for eight years at which time the principal is withdrawn. T...

A: We will use the concept of time value of money here. The concept says that money earns interest and ...

Q: A bond will sell at ____________ if the required return is greater than the coupon rate. Select one...

A: Required return relation with price and coupon rate If required return is greater than coupon rate t...

Q: Suppose the yield on a 10-year T-bond is currently 5.05% and that on a 10-year Treasury Inflation Pr...

A: A Bond refers to an instrument that represents the loan being made by the investor to the company an...

Q: Task 4. Compute the present value of the following single amount: 1. P250,000 in 8 years compounded ...

A: 1) Future value (F) = P 250000 n = 8 years r = 8%

Q: Debit cards allow an individual to transfer funds directly in a checkable account to a merchant with...

A: Debit card transactions involve the transfer of funds from a bank account. The checkable deposit, no...