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What was their federal tax bill
: Your company has sales of $425,000; cost of goods sold = $200,000. The company paid interest of $25,000 on a loan and received $20,000 in dividends from GE. They paid $55,750 in common stock dividends and $10,000 in preferred stock dividends. What wa..
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What is the price of bond with coupon rate
: What is the price of a bond with a coupon rate of 4.50%, a yield to maturity of 4.25%, a future value of $1000, semi-annual coupon payments, and 9 years until maturity?
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Number of floral deliveries its patients receive each day
: A hospital records the number of floral deliveries its patients receive each day. For a two-week period, the records show 15, 27, 26, 24, 18, 21, 26, 19, 15, 28, 25, 26, 17, 23 Use exponential smoothing with a smoothing constant of .4 to forecast the..
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Determine the irr of the investment
: For a new product, an initial investment of $500,000 is required. The revenues and costs for each of the four years of the product’s life are. The expected residual value of the equipment is 10% of its first cost of $500,000 at the end of the five ye..
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Financial manager has when managing working capital
: What are the goals a financial manager has when managing working capital? What does the manager have under their control to effect the goals? What forces are working against each other in optimizing the goals of the manager?
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What is the gross return of the riskfree bond
: There are two states of nature (s1, s2) with equal probabilities. Suppose there is a representative agent who is endowed with 1 unit of consumption today, and (2, 1) tomorrow. The agent has power. What are the risk-neutral probabilities? What is the..
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What is the addition to retained earnings
: Draiman, Inc., has sales of $585,000, costs of $273,000, depreciation expense of $71,000, interest expense of $38,000, and a tax rate of 35 percent. The firm paid out $36,000 in cash dividends. What is the addition to retained earnings?
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Nonquantitative factors best predict bond defaults
: Bond rating agencies have invested significant sums money in an effort to determine which quantitative and nonquantitative factors best predict bond defaults. Furthermore, some of the raters invest time and money to meet privately with corporate pers..
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Payoffs without any cost or risk using arbitrage portfolio
: Suppose there are two states of nature in the future. In the asset market, there are the two contingent claims, one for each state. There’s a third security with payoffs x=(4,2). What is the payoff matrix X of the asset market? Is the market complete..
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