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Question - PolarAir Inc. repairs and maintains air conditioners. This often involves replacing the main AC capacitor, a crucial electronic component. PolarAir replaces about 1,000 capacitors per year and its supplier charges the company $40 per capacitor. Handling and freight costs are $150 per order. Answer the following questions, given that the carrying cost of AC capacitors is $5 per unit:
How many capacitors should PolarAir order, each time it places an order?
How many capacitors should PolarAir have in stock when it places an order, if it takes the supplier 10 working days to process the order and deliver the capacitors? Since PolarAir does not operate on weekends, you should assume that there are 250 days in a year.
Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest. How much control does the Fed have over this longer real rate?
Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.
Accounting problems, Draw a detailed timeline incorporating the dividends, calculate the exact Payback Period b) the discounted Payback Period. the IRR, the NPV, the Profitability Index.
Term Structure of Interest Rates
Write a report on Internal Controls
Prepare the bank reconciliation for company.
Create a cost-benefit analysis to evaluate the project
Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR
Distinguish between liquidity and profitability.
Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.
Simple Interest, Compound interest, discount rate, force of interest, AV, PV
CAPM and Venture Capital
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