company is operating at full capacity, fixed assets are excluded in the computation of the amount of external funds needed b. Additions to retained earnings varies upon on the profit margin ratio and retention ratio of the firm c. Growth rate is irrelevant because it seem to be fluctuating every year d. Additional financing needed only p

Q: blend of equity and debt used by the firm. dividend yield of the firm's stock. maturity date for the...

A: Company uses different modes to raise money for business for the growth and expansion of business.

Q: Urgently need

A: Price of Bond refers to the is the present discounted value of future stream of cash flows. In other...

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: 1. On July 15, 1996, what will John receive on selling note to Ben to whom money is worth 4% compoun...

A: Note : We’ll answer the first question since the exact one wasn’t specified. Please submit a new que...

Q: Determine the number of days of the loan. Loan Date Due Date Number of Days June 24 October 12

A: Given, Loan date is June 24 Due date is October 12.

Q: ndholders. areholders. areholders and the federal government.

A: Interest tax sheild is the reduced cost of capital due to the advantages of tax deductions.

Q: The tuition and fees for an in-state full-time student at the University of Hawaii at Manoa increase...

A: The change in the price of a commodity purchased by urban consumers is measured by CPI-U (consumer p...

Q: O Preferred equity is a separate component of WACC. O There is a tax shield on the equity dividends ...

A: There is debt used in the capital structure of company debt have advantages of interest tax sheild d...

Q: ibe the gold standard syst

A: Gold standard is system of currency management system in this system rate of currency was linked to ...

Q: A loan, amortized over 15 years, is repaid by making payments of $1,900 at the end of every month. I...

A:

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...

Q: Why this Strategic, Tactical and Operational decision classification more relevant than classic clas...

A: We know that a manager has to take various decision in achieving the goal set the by management. Her...

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

A: Project life is 5 years Initial investment is $100 million Incremantal revenue is $120 million Expen...

Q: 200,000, a fast food corporation may purchase the building and land required to open a new shop. Ins...

A: The monthly payment are done considering the interest and value of the building and value of buildin...

Q: What is the price of a bond that has a time to maturity of 4 years, a coupon rate of 3.3%, and a fac...

A:   Cash Flow at the time of maturity = $1000 Interest (Annuity) annually = ($1000 * 3.3%) = $33 ...

Q: lax S O both debtholders and equityholders. debtholders. equityholders. only the firm's customers.

A: In the capital structure of company there use of debt and equity and proper use of debt and equity w...

Q: A man invested P50,000 now for the college education of his 2-year old son. If the fund earns 14% ef...

A: Future value can be calculated using FV (rate, nper, pmt, [Pv], [type]) Rate The interest rate Nper...

Q: C) Present Worth Cost Method D) Equivalent Uniform Annual Cost Method

A: Out of all the available investment options a company will either choose the one that maximizes bene...

Q: Assume inflation is 0.16% per month. Would you rather earn a nominal return of 0.79% per month, comp...

A: Annual rate of return = (1 + monthly return)12 - 1

Q: Find the amount (in $) of interest and the maturity value of the loans. Use the formula  MV = P + I...

A: Given, The Principal value is $145000 Rate is 15 1/2% Time period is 5 months  

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: Latimore Constructions Corp has the following capital situation: Debt: The firm issued 10,000 25 yea...

A: As per the guideline, in the case of multipart questions, we are allowed to answer only the first 3 ...

Q: You want to start saving for your first car which costs R300 000. You decide to save by investing in...

A: The investment made monthly grow to much larger amount due to the power of compounding over the peri...

Q: You want to supplement your retirement income through a retirement account. You have 15 years left u...

A: First withdrawl amount is $15,000 Growth rate is 5% Starting year of Withdrawal is 16th Ending Year ...

Q: Convert the following cash flows to a uniform payment series, where n=3 starting at year 3 and i=3%....

A: The value of same amount of money will be different at various point of time. This is because, the v...

Q: A corporation must decide whether to introduce a new product line. The new product will have startup...

A: NPV is the difference between present value of cash inflows and initial investment. NPV =PV of cash ...

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: If i put in $500 a month which pays daily interest rate of 1% p.a., how much will I have at the end ...

A: Interest is the amount of fee paid to an investor or depositor for providing funds. It is the compen...

Q: J&R Wealth is considering an investment with the following cash flow: ΕΟΥ Cash Flow 1-10 10 $500,000...

A: Initial Cost = $500,000 Cash Inflow = $92,500 Cash flow in 10 Years = $50,000 MARR = 12%

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: Lia plans to buy a house for Php 158482. She wants to make a down payment of Php 23912 and to take o...

A: Price of house = Php 158,482 Down payment = Php 23,912 Loan amount = 158,482-23,912 = Php 134,570.00...

Q: You have found three investment choices for a one-year deposit: 10.4% APR compounded monthly, 10.4% ...

A: Effective annual rate = ( 1 + r / n )n - 1r = Annual percentage raten = durationa) EAR of the first ...

Q: A proposed relaxation of credit standards of Mama Inc. will increase the balance of accounts receiva...

A: Solution:- Average collection period means the days it takes for a firm to recover amount from its r...

Q: Reddie, Mcdonald & Griffiths Inc. has a risk-free rate of 5% and a market risk premium of 8%. The co...

A: Given, Two investments X and Y The risk free rate is 5% and market risk premium is 8%.

Q: If P25, 000 is deposited now into a savings account that earns 6% per year, what uniform annual amou...

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

Q: Wade Ellis buys a car for $16,278.13. He puts 10% down and obtains a simple interest amortized loan ...

A: Given, The loan amount is $16,278.13 Down payment is 10%Rate of interest is 11.5%.

Q: John obtained a loan of $25,000 at 4.6% compounded monthly. How long (rounded up to the next payment...

A: Loan amount = $25,000 Interest rate = 4.6% Monthly payment = $2,810  

Q: r1=0.07, r2=0.065, r3=0.06, r4=0.05, r5=0.475, r6=0.04 Find current price P(t-0) with F=5000 with an...

A: We can find the annual Y rate by taking the average of all 6-year rates. We can apply the formula to...

Q: If the company requires a return of 13 percent on such undertakings, what is the NPV of the project?...

A: Net present value (NPV) refers to the variance between the present value (PV) of cash inflows and in...

Q: Determine the present value of the following cash flows; P4,000 at the end of 4th month and every mo...

A: Given information= P4000 at the end of 4th month and every month thereafter till the 12th Month Inte...

Q: You are planning to retire in 25 years time. Immediately after your retirement, you wish to go for a...

A: “Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only on...

Q: Inc. uses Additional Funds Needed as a plug item. If the company had forecast its additional financi...

A: Retention ratio is calculated as ratio of retained earnings and net income. The retained earning can...

Q: Suppose XYZ Corporation's stock price ses or falls with equal probability by $20 each month, startin...

A: Call option gives holder a right to buy a stock, but it is not an obligation to buy the stock. Optio...

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: 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: Bulldogs Inc. expects to use 48,000 boxes of chocolate per year costing P12 per box. Inventory carry...

A: Cost per box = $12 Inventory carrying cost = 20%  Safety stock = 2,400 boxes Order of boxes = 2,000 ...

Q: Azhar invested RM X in an account that earn 5% simple interest rate for a tenure of 6 years. While h...

A: Investment by Azhar = X Investment by spouse = X + 2000 Interest rate (r) = 5% simple interest n = 6...

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: 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 residual theory of dividends argues that dividends a. can only be distributed if there is income...

A: Solution:- Residual theory of dividends means the dividend is the residue left after meeting the cap...