Q: Which one of the following attributes is favorable for the convertible bond arbitrage?
A: convertible bond arbitrage is favorable for minimal volatility of stock price .
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A: Compound interest is that form of interest under which interest is charged on principal and interest…
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A: Present value of future cash flow can be calculated as follows: = Future Value/ (1 + rate)^number of…
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A: Renounceable Right Issue of Ordinary Shares Under this approach a company gives an offer to its…
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A: Coupon payment after one year will be face value of bond multiply with adjusted coupon rate after…
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A: Data given: Mortgage = $ 400,000 N= 25 years Rate= 3.5% p.a. compounded annually
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A: External analysis is the analysis done by the people who are outside the firm. These people cannot…
Q: when should they pay, assuming that they wish to stay on good terms with the supplier
A: 1/10 net 30 means discount = 1% total amount due = 30 days bill due = 10 days
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A: When company goes for liquidation than company distribute the funds available for distribution among…
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A: Unlevered cost refers to the cost of a company which is completed based on equity financing and debt…
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A: The Capital Asset Pricing Model (CAPM) is a mathematical model that describes the relationship…
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A: Present value (PV) of money refers to the current price of any future sum of money or streams of…
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A: Investment means engaging your funds to earn some additional money over the period. interest is a…
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A: Solution:- When an equal amount is paid each period at the end of period, it is called ordinary…
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A: Here, Details of Fidelity Bank: Loan Amount is $127,000 Compensating Balance is 22% Number of…
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A: Given: Amount = $600,000 Interest rate = 7% Years = 12
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A: To calculate the present value we will use the below formula Present value = FV/[1+(r/m)]n*m Where…
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A: Shareholder wealth maximization has been the underlying driving force for companies and their…
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A: A derivative is a contract between two or more parties whose value is based on an agreed-upon…
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A: Answer - Markdown - A markdown is an amount by which you decrease the selling price in order words…
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A: Journal entries is referred as an act of the keeping/making records for all the transaction of the…
Q: Which statement is not correct?
A: The value of a convertible boand cannot be less then it's straight value
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A: Solution:- When an income is received in advance, it is treated as liability because service to be…
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A: When Project are mutually exclusive,selection should be made according to the project with the…
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A: The investments can be made using different assets basing on the risk capability and investment…
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A: Bonds are debt instruments that carry the interest payments to be paid each period and face value on…
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A: Daily balance is given as: Daily balance=Previous balance+ purchases+cash advance - payments
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A: Given, The Present value is ₱34,400 The future value is ₱52,540
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A: Equivalent Uniform annual Cost Method:- When life of two mutually exclusive projects are different…
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A: Solution:- Annuity means an equal amount invested each period.
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A: Here we will use the concept of time value of money. As per the concept of time value of money worth…
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A: Deferral Period: It is the period in which the borrower does not have to pay interest or repay the…
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A: First, we will calculate the Annual worth using the formula, thereafter we will calculate the…
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A: The question is related to Time value of money. The present value is calculated with the help of…
Q: A company's 5-year bonds are yielding 8% per year. Treasury bonds with the same maturity are…
A: Data given: Yield= 8% per year Risk free rate= 2.15% Average inflation premium=1.65% Maturity risk…
Q: A P100,000, 10% bond pays dividend every quarter for 8 years. The bond is priced at par and is…
A: The par value of bond us P100,000 Number of years to maturity 8 years
Q: Share at least 2 examples that compare how organizations' different structures, risk tolerances, and…
A: Risk management planning: A risk management plan is a document that a project manager prepares to…
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- Aquaq3” has received an invoice of $11500.00 with terms 5/10 2/20 n/30 E.O.M on April 20th. How much should they pay on May 5th if they want to reduce the outstanding balance by $3000.00? How much more should they pay if they want to reduce the outstanding balance to 4500.00?You received invoices from Global Inc. dated Jan 20 for $2800, Jan 25 for $4200, and Feb 1 (non-leap-year) for $1500. You have also made a payment of $4800 on Jan 27th. The invoices all have terms of 3/10, n/30. A. What is the outstanding balance on the January 25th invoice after the January 27th payment? B. What total amount must be paid on Feb 5 to settle the remaining balance on all the invoices?Credit for partial payment and net amount due if the invoice is $8303 and the partial payment is $2300 and the terms are 2/10, n/30
- How do you find the amount of payment to be credited and the balance outstanding when you know the amount of invoice is $600, the terms are 4/10 and n/60, the invoice date is 7/5, the actual partial payment made is $400, and the date of partial payment is 7/14?You received invoices from Wengo Industries dated Jan 20 for $2800, Jan 25 for $4200, and Feb 1 (non-leap-year) for $1500. You have also made a payment of $4800 on Jan 27th. The invoices all have terms of 3/10, n/30. What is the outstanding balance on the January 25th invoice after the January 27th payment?What if the invoice date is 12/27, but the invoice is about next year's sevices, should we record the acount payable at 12/31 for this invoice?
- Scarlet Company received an invoice for $67,000.00 that had payment terms of 2/5 n/30. If it made a partial payment of $16,500.00 during the discount period, calculate the balance of the invoice. Round to the nearest centParty Pals Company received an invoice dated Oct 18, 2023, for $ 7,800 with trade discount series of 25% and 15%. Payment terms are 5/10 2/30 , n / 60 . a) What is the invoice amount?b) What are the last days of the two discount periods?c) How much should be paid on Oct 26 to reduce the unpaid balance to $ 3,000.00? d) How much should be paid on Nov 10 to reduce the unpaid balance by $1,500.00? e) What was the account balance on after the Nov 10 payment?A small business receives an invoice for $1675 on January 5, 2022 and the payment terms are 5/14, 2/21, n/60. If $1000 was paid on January 25, what would the amount credited be? (Round accurately to two decimal places and include a dollar sign.)
- What amount must be remitted if invoices dated August 23 for $810, September 13 for $780 and September 22 for $905, all terms 2/10 E.O.M., are paid together on October 5? DCM Clocks received the following two invoices from its supplier: $25,000 on August 29, 2014 and $24,000 on September 8, 2014. If the payment terms on both the invoices were 2.5/10, 1/20, n/60, calculate the amount that must be paid by DCM Clocks to settle both of these invoices on September 18, 2014. David, the owner of a brewery in Toronto, receives a shipment of barley on August 1, 2014 with an invoice dated July 24, 2014 valued at $39,900 and cash discount payment terms 2/10, n/30, R.O.G. What cash discount would he receive if the invoice is settled on the following dates? August 4, August 11, August 24A personal account earmarked as a retirement supplement contains $342,400. Suppose $300,000 is used to establish an annuity that earns 7%, compounded quarterly, and pays $5500 at the end of each quarter. How long will it be until the account balance is $0? (Round your answer UP to the nearest quarter.)(There was a similar question to this, but had a step without proper explanation, resulting in confusion.)1. M makes a note payable to the order of P for 10,000 and delivers the same to P. Without the consent of M, P changed the amount to 40,000. P then indorsed the note to A, A to B, B to C, and C to H, holder. Against whom may H enforce payment and how much?