What is the implication of a tax invoice not being received for the light fittings

Q: Klin Company 6 percent interest on its outstanding debt, which equals P100,000. The company’s sales ...

A: Solution:- We know,  Times interest earned (TIE) = Earnings before interest and tax / Interest expen...

Q: Clifford Clark is a recent retiree who is interested in investing some of his savings in corporate b...

A: The price for bond implies to the consideration amount paid by investor for purchasing bond. It is t...

Q: A family planning to buy a house can afford a monthly payment of $1650.00. What is the maximum amoun...

A: We can find the value of the loan by using the PMT formula

Q: Consider a bond with a modified duration (in years) of 3.2. Coupon rate and yield to maturity are th...

A:

Q: 55. Amortization with Equal Payments Prepare an amortization schedule for a three-year loan of $57,0...

A:

Q: What portfolio of call options would you buy to get the Skinny "M" payoff?

A: Option strategies involve buying and selling one or more options with one or more variables that dif...

Q: What is the present value of a perpetuity that pays 1,000 per year beginning 1 year from now if the ...

A: The perpetuity is the annuity that happens for a perpetual period. In other words, it is the equal a...

Q: ng an important business activity? How does it affect th

A: Step 1   The purpose of financial planning is to determine how the company will be able to meet its ...

Q: A chemical company is considering buying a new production equipment. The following models are identi...

A: Present value is referred to as the concept, which expresses the fund amount today will worth more a...

Q: How much would you have at the end of five years if you invested P50,000 at 10.5% interest rate?

A: Future Value: It is the future worth of the present sum of the amount and is computed by multiplyin...

Q: Computer Programmer $75/hour Architect $8,000 flat fee Attorney $250/hour Bankers 2% of capital rais...

A: Total cost of service will be equal to total of cost of computer programmer, cost of Architect, cost...

Q: 4) The interest rate on conventional 1-year Treasury bonds is 7% and the interest rate on 1-year TIP...

A:

Q: Two processes can be used for producing a new engine. Process A will have a first cost of P750,000, ...

A:  Future worth analysis is a method in which it is required to calculate the equivalent cost of the p...

Q: manager of an automobile dealership is considering a new bonus plan designed to increase sales volum...

A: Hypothesis testing is a technique which helps in the the testing of the sample and draw inferences f...

Q: How long will it take for your deposit to be P20, 000 if the account pays 12% annually?

A: Future Value: It represents the future worth of an investment cash flow and is computed by multiply...

Q: Five years ago you purchasedan 8% coupon bond for $975. Today you sold the bond for $1,000. What is ...

A: a. Calculate the rate of return as follows: rate of return=Sale price of bond+Coupon paymentsPurchas...

Q: What is the hire purchase price?

A: Hire Purchase Price: Hire purchase price comprises of a down payment and monthly installment. Hence...

Q: Flexible Budget In an attempt to improve budgeting, the controller for Meliore, Inc., has developed...

A: 1. Calculate the flexible budget of Meliore, Inc. as follows: Solution:   Standard Model Deluxe M...

Q: ISLAMIC FINANCE COURSE What are the terms and condition of the Musharakha contract?

A: Musharakha stands for Partnership. It is an agreement between two parties who binds themselves into ...

Q: or the various securities listed below, which option comrectly lists them in the order of the one th...

A: Interest rate depends on the risk element of the bonds. The higher is the risk associated with a bon...

Q: Anita opens a savings account. At the start of cach month she deposits SX into the savings account. ...

A: Interest rate (r) = 4.2% per annum = 0.35 % per month Money deposited at the start of the month = X ...

Q: On June 25, 2021, the futures price for the June 2021 bond futures contract is 118- 23. What is the ...

A: Conversion Factor for any Bond is a number which is to be multiplied with the bond futures to calcul...

Q: There is a 5 year zero coupon bond on the market with the nominal value of 10,000 PLN. The yield to ...

A: Yield to maturity for zero coupon bond is 6% Time period for Zero coupon bond is 5 years Nominal val...

Q: Jamilah and Alexis have $500 to invest. The bank offers an interest rate of 6% compounded annually. ...

A: FV = PV * (1 + r)^nWhere FV = Future ValuePV = Present Value r = rate of interest n = number of peri...

Q: Typically, short-term interest rates: А. are more volatile than long-term interest rates В. are less...

A: Answer The correct option is “A” Explanation:  “Short-term interest rate is more volatile than long-...

Q: Nokela Industries purchases a $36.4 million cyclo-converter. The cyclo-converter will be depreciated...

A: Answer -    Part A -    Earnings for the next four years would have to deduct the depreciation expen...

Q: In international finance, can you explain the risk involve for both importer and exporter and provid...

A: International finance is referred as the study of the monetary interactions, which used to transpire...

Q: A owns a promissory note, due in 2 years hence, whose maturity value is 7,500 php. If the rate of in...

A: Period =  2 Years Bimonthly period = 2*6 = 12 Interest rate = 11.5% Bimonthly interest rate = 1.9166...

Q: What is the direct labor rate variance? What is the direct labor time variance?

A: Variance analysis is the analysis of actual and budgeted figures of production and related activitie...

Q: Which of the following statements is most correct?   A. Combining positively correlated assets hav...

A: The combination of positively related and negative related assets has been seen provided in the ques...

Q: Tiger-Farms has an operating-expense ratio of 75%, a depreciation expense ratio of 8%, and an intere...

A: Operating income is defined as revenue less any operating expenses, whereas net income is defined as...

Q: A printing press machine has a cash equivalent of P250,000. For the first three years, it will provi...

A: Initial cost (C) = P 250000 Profit in year 1 (A1) = P 20000 A2 = P 20000 A3 = P 20000 A4 = P 35000 A...

Q: 6. Smith is willing to spend $2,000 per month on her mortgage payment. If Smith obtains a fully amor...

A: An agreement through which a lender lends the money to the borrower, and has the right to take the p...

Q: A store plans on investing on a new grill oven that costs P100,000. It will generate revenues of P2,...

A: Present worth of the project depicts the feasibility of the project at the prescribed interest rate ...

Q: How much interest will be owed on a loan of P15,500 at the end of 4 years and 7months using 15 perce...

A: Loan amount (P) = P15500 Period (t) = 4 Years and 7 Months = 4+(7/12) = 4+0.583333333333333 = 4.5833...

Q: The days' sale in inventory is 73. The cost of goods sold is 720,000. The net sales are 1,020,000, t...

A:

Q: 1 You deposit P10 000 into a 9% account today . At the end of two years , you will deposit P30 000 ....

A: Future Value The future value is the amount that will be received at the end of a certain period. Th...

Q: Determine the interest payment for the following three bonds. (Assum $1,000 par value.) (Round your ...

A: Each bond there are coupon to be paid semi annually or annually depending on the interest rate preva...

Q: 1. Jake has a credit card with an outstanding balance of $18,504. The credit card company charges an...

A: a) APR = 23.2 % compounded monthly So monthly interest rate will be = 1 + (APR/12) = 1 + 0.232 / 12 ...

Q: The 90-day forward rate for the euro is $1.07, while the current spot rate of the euro is $1.05. The...

A: Spot rate 1 Euro = $1.05 Forward rate 1 Euro = $1.07 Period = 90 days

Q: Mulherin’s stock has a beta of 1.23, it’s required return is 11.75%, and risk free rate is 4.25%. Wh...

A: Capital Asset Pricing Model (CAPM): CAPM is the method of calculating the expected return on investm...

Q: Assume the following bid and ask rates of the pound for two banks as shown below:        Bid       ...

A: Bid rate - Bid price is referred to as that price which somebody is willing to buy something. It is ...

Q: e dividend growth model determines the present value of a stock based on its next annual dividend, t...

A: Constant growth dividend model is used determine the prices of stock that assumes that dividend grow...

Q: Given D1 = P2.00, beta=0.9, risk- free rate -5.6%, market risk premium = 6%, current stock price = P...

A: D1 = P 2 Beta = 0.9 Rf = 5.6% (Rm - Rf) = 6% Let g = Growth rate

Q: h of the following is the most likely if the interest rate of the U.S. is lower relative to the Unit...

A: The arbitrage opportunity exist if the interest are not same and if the spot rate and forward are sa...

Q: 29. There are three therapy options to treat stomach cancer, drugs A (the standard), B or C. The cos...

A: Cost of drug A = $ 5000 Cost of drug D = $ 6000 Incremental cost =  $ 1000 Incremental cost utility ...

Q: An amount of P14,000 is borrowed at a discount rate of 10%, find the proceeds if the length of the l...

A: A bank discount is a discount charged by the Bank on the loan given to the customer. On maturity, th...

Q: Mr. Reyes borrows P600,000 at 12% compounded annually, agreeing to repay  the loan in 15 equal payme...

A: We need to use present value of ordinary annuity formula to calculate equal payment. PMT =PV*r1-1(1+...

Q: Mr. Poseidon Neptune, owner of Underwater Bar Inc., borrowed P350,000 at 11% from a bank to expand i...

A:

Q: Suppose a ten-year, $1,000 bond with an 8.5% coupon rate and semiannual coupons is trading for $1,03...

A: Bond price is the sum of present value of all coupons and present value of face value at maturity. Y...