The most important factor to consider when determining the dividends to be declared is a. the impact of inflation on replacement costs b. any future planned use of retained earnings d. the future planned use of cash available at the date of dividend distribution e. shareholders’ expectation about the firms’ profitability

Q: What deposit made at the beginning of each month will accumulate to P120,000 at 8% compounded semi-a...

A: Future Value = P 120,000 Interest Rate = 8% compounded semi-annually Time Period = 10 Years

Q: Suppose that money can be invested at 10% compounded annually. Accumulate ? 5,000 for 10 years ; Dis...

A: Present Value refers to the value of cash flows today which is to be received at some future time gi...

Q: The company's interest rate (MARR) is 6%. Which extruder should the Styrofoam company choose? Use An...

A: Investment appraisal is the branch of financial management dealing with evaluation and selection of ...

Q: Choose from the two machines which is more economical: Machine B 14000 P2,000 Machine A First Cost P...

A: Taxes and Insurance = 3% Interest Rate = 16%    

Q: Lia plans to buy a house for Php 150964. She wants to make a down payment of Php 20692 and to take o...

A: Price of house  = Php 150,964 Down payment = Php 20692 Loan amount (PV) = 150,964-20692 = Php 130,27...

Q: If you live in a state that needs to collect $18 million in property taxes and has a tax rate of 2.7...

A: Property tax amount = $18,000,000 Tax rate = 2.77%

Q: Consider the following data for bonds A and B: _price annual cash flows t = 0 t = 1 t = 2 t = 3 A $9...

A:

Q: Brandon purchased a car using a 5-year car lease at 5.80% compounded quarterly that required her to ...

A:

Q: C Companv has a $1.000 par value bond that currentlv sells tor $850. The coupon rate of the bond is...

A: Required rate of return on bond is rate of return realized on bond by holding the bond on the maturi...

Q: You have been accepted into college. The college guarantees that your tuition will not increase for ...

A: Semiannual tuition fees (S) = $11500 Number of withdrawals (n) = 8 r = 4.4% per annum = 2.2% semiann...

Q: A stock has a beta of 1.1, the expected return on the market is 10.4 percent, and the risk-free rate...

A: Expected return = Risk free rate+Beta*(Market return-Risk free rate) Where Risk free rate = 4.75% Be...

Q: The cost of a merger may outweigh the potential gain if the: present value of the acquired firm exce...

A: Cost of merger will be  Cost of merger =Market value of target company-intrinsic value of target com...

Q: A customer is going to buy a brand new pump and motor. It has an initial cost of $10,000. The lifeti...

A: To break even, present value of inflows shall be equal to the initial cost of the project.

Q: Find the amount (in $) of interest on the loan.

A: Interest: It refers to the monetary charge paid by the borrower to the lender for taking a loan. It...

Q: QUESTION 13 Smith is looking for a fully amortizing 30 year Fixed Rate Mortgage with monthly payment...

A: The internal rate of return is referred to as the discount rate which makes the net present value ze...

Q: On December 27, 2021, Roberta purchased four tickets to a charity ball sponsored by the city of San ...

A: Answer -  a. Cash basis of accounting -   Roberta can deduct ($200 x 4) - ($35 x 4) = $800 - $140 = ...

Q: Suppose portfolio mean return is 25% and standard deviation 30%. Find the 2 standard deviation range...

A: We will find out the value of  5% VaR and will check whether it is below -30% or above.

Q: Describe how you will ensure adequate liquidity to cover anticipated expenses.                      ...

A: Liquidity is needed to meet all types of expenses be it short term expenses, long term expenses, ant...

Q: Earned Value formulas. • SV = EV - PV; SPI = EV/PV • CV = EV - AC; CPI = EV/AC • CR = SPI x CPI Prob...

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

Q: Calculate the bank discount and proceeds (in $) for the simple discount note. Use the ordinary inter...

A: The bank discount as per ordinary interest method is calculated with the help of following formula  ...

Q: Assume you graduate from college with $35,000 in student loans. If your interest rate is fixed at 4....

A: Monthly payment = PV/(1-(1+i)-n)/i Where PV - Loan amount i.e. $35,000 i - Interest rate i.e. 4.66%/...

Q: 2. Selected data from the Company are presented below: P1,600,000 1,750,000 245,000 Total assets Ave...

A: Solution:- Profit margin ratio measures that how much the company earns net income on its sales. So,...

Q: The option is currently a.) In-the-money b.) At-the-money c.) Out-the-money 2.) In/At/Out- the m...

A: Call option gives the opportunity to buy the stock at given price on given date of expiration but th...

Q: The M.I.R.R. is based on   a Cash flows being reinvested at a rate always different from WACC  b ...

A: Modified internal rate of return is an improvement on the internal rate of return method.  

Q: a. Calculate the initial value of the index if a price-weighting scheme is used. Indes value b. What...

A: Price-Weighted Index: In the price-weighted index, each security is weighted by the relevant price ...

Q: Synovec Corporation is expected to pay the following dividends over the next four years: $6.10, $17....

A: The stock price which is the maximum price to be paid for share consists of dividends and terminal v...

Q: You borrow $5000 now and agree to pay this whole amount back in three payments: Payment 1. SX in 3 m...

A: The value of a certain amount of money at current time will not be the same as value of same amount ...

Q: The establishment and usage of a zero-balance account in relation to the cash management strategies ...

A: A zero-balance account can be defined as an account in which zero balance is maintained so that only...

Q: NEKO Inc. has forecasted that its net income will be P400,000. The company has debt ratio of 30%. Th...

A: Net income (NI) = P400,000 Debt ratio = 30% Equity ratio (ER) = 100%-30% = 70% Investment requiremen...

Q: Assume you put $400 per month into a retirement account for 14 years, and the account has an APR of ...

A: (Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the questio...

Q: The terms of financing, whether good or bad,

A: Financing is a process used for funding business activities through purchasing or investing. Financi...

Q: High-end airlines compete directly with other high-end airlines. When it comes to pricing, competito...

A: In a competitive environment, the companies will try to outdo each other on prices and services in o...

Q: What is the cost of new common stock if the required rate of return is 9%, the constant dividend gro...

A: The cost of issuing new securities is known as floatation cost. It includes legal expenses, registra...

Q: A $90,000 reverse mortgage is for 10 years at 8% interest rate where payments are made monthly at th...

A: In reverse mortgage, the home owner receives monthly payments as income rather than payment which in...

Q: Deposit $10,000 in account with 7% annual interest compounded monthly.  What is the balance after 3 ...

A: Solution:- When some amount is deposited, it earns some interest. The amount at the end along with t...

Q: How can effective APR differ from nominal interest? A. Effective APR takes loan fees into account, w...

A: Nominal interest rate is the stated interest rate on a loan. It is the interest rate which does not ...

Q: What must be the current discount rate for these bonds? B. Suppose that the discount rate for these...

A: Bond: It represents a debt instrument issued by a firm to raise debt capital from the investors. Th...

Q: he total revenue numbers over the past 4 years for Tag-It Corporation were as follows (values in mil...

A: Fist we need to do a trend analysis in the sales of last 4 years. If growth rate is near to 12% than...

Q: he following are methods of acquiring funds through long-term financing, except a. Issuing a note t...

A: Solution:- Long term financing means acquiring funds for a long period of time, generally more than ...

Q: The option is currently a.) In-the-money b.) At-the-money c.) Out-the-money 2.) In/At/Out- the m...

A: For a put option if the Strike price is more than the underlying or current stock price then the put...

Q: Analyze and discuss the entire Philippine financial system, specifically the banking and non-banking...

A: Financial system is referred as the set of an institutions like - insurance companies, stock exchang...

Q: e establishment and usage of a zero-balance account in relation to the cash management strategies of...

A: Zero balance account is very common strategy adopted by companies it is one of the common strategy b...

Q: What is the yield to maturity? Round your answer to two decimal places.   % What is the yield to ca...

A: Yield To Maturity: It refers to the expected rate of return for the bondholder if the bond is held ...

Q: Bulldogs Inc. is considering whether to pursue a restricted or relaxed current asset investment poli...

A: Return on equity is the net income earned by the amount invested in the net assets of the company. H...

Q: Regarding the trade-off theory, a firm would reach its optimal capital structure if the tax savings ...

A: Capital Structure is the break-up of total amount of funds raised by entity to finance its operation...

Q: An individual spends $20 per day. Suppose that this person pays for all her purchases using her cred...

A: The average daily balance is an estimate of the amount on which interest has been computed as borrow...

Q: 3. The Corporation's net operating income last year was P103,000; its interest expense was P17,000; ...

A: Times-Interest Earned Ratio refers to the ratio which measures the ability of the company in meeting...

Q: how much must she pay each month?

A: Mortgage Payments: Mortgage payments are made to the lender by the borrower for taking a loan. Thes...

Q: In a raffle, 5000 tickets are being sold at $1 each. There is a first prize of $700, three second pr...

A: Cost of Goods sold Cost of goods sold is the cost of goods which is sold by the company. The cost of...

Q: Bridgette Inc. has forecasted that its net income will be P400,000. The company has debt ratio of 30...

A: Given Information : Net Income = P400,000 Debt ratio = 30%Project Investment = P500,000 Number of sh...