User Account

All Pages

How much cash will komiko retain

Assignment Help Accounting Basics
Reference no: EM133047730

Question - Komiko Tanaka invests $24,500 in LymaBean, Inc. LymaBean does not pay any dividends. Komiko projects that her investment will generate a 10 percent before-tax rate of return. She plans to invest for the long term.

a. How much cash will Komiko retain, after-taxes, if she holds the investment for 5 years and then she sells it when the long-term capital gains rate is 15 percent?

b. What is Komiko's after-tax rate of return on her investment in part (a)?

c. How much cash will Komiko retain, after-taxes, if she holds the investment for 5 years and then sells when the long-term capital gains rate is 25 percent?

d. What is Komiko's after-tax rate of return on her investment in part (c)?

e. How much cash will Komiko retain, after taxes, if she holds the investment for 15 years and then she sells when the long-term capital gains rate is 15 percent?

f. What is Komiko's after-tax rate of return on her investment in part (e)?

Reference no: EM133047730

Questions Cloud

What is an emergency response plan : What is an emergency response plan? Outline the benefits of an emergency response plan? What are the different parts of an emergency response plan?
Headers of either project or chart annotation : Start by identifying all the annotation features deployed, listing them under the headers of either project or chart annotation
Describe letters of credit : Describe Letters of Credit, what they are and variations that exist and discuss the above statement.
Avoid duplication and oversight of content : 1. In the "divide and conquer" team writing method, what helps to avoid duplication and oversight of content:
How much cash will komiko retain : How much cash will Komiko retain, after-taxes, if she holds the investment for 5 years and then she sells it when the long-term capital gains rate is 15 percent
Explain what challenges are presented to public : Why is U.S. Capitol insurrection of concern? How might others in leadership from today's organizations be affected by the insurrection?
Explain the concept of information stores : Explain the concept of information stores. Why is an understanding of how different clients store messaging information critical to the success of email search.
Creating and maintaining patient medical records : In today's healthcare organizations, the office staff must possess computer skills and knowledge of computer hardware and software applications.
Dns failover as adjunct to cloud failover : Discuss the benefits of DNS failover as an adjunct to cloud failover.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

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

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

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.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

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 and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd