Reference no: EM131090002
1. Iris pays 15% in dividends and capital gains taxes and 35% in ordinary income taxes. Several years ago, she purchased a Mortgage-Backed Security (MBS) for $20,000 which was the par value of the underlying assets. At the end of this year, she received a statement stating she had received $700 in scheduled amortization of principal,$1,200 in interest, and $500 in unscheduled collection of principal. What is Iris's after-tax cash flow this year from this investment?
2. Before the new tax law enacted in 2003, dividends were taxed as ordinary income. Now the maximum tax rate on dividends paid to individuals is 15%. As a result of the law, an investor in the 25% tax bracket who received $70,000 in qualifying dividends had a tax savings of?
3. Corey pays 15% in dividend and capital gains taxes and 35% in ordinary income taxes. Four years ago, she invested $500,000 in a private placement offering with some friends. The initial price was $50 a share. The investment group is now discussing the possibility of publicly selling their shares. One of the members of the group believes they could get at least $75 a share. If this is correct, what are Corey's taxes when she sells her shares (ignoring commissions and fees)?
4. A $1,000 par 1.4% coupon convertible bond with a stock purchase warrant for 1 share of stock at $35 per share is purchased for $900. The common stock has a current market price of $38 per share and the warrant's market price is $4. If the market price of the stock increases to $41.80, the minimum percentage increase in the value of the warrant is?
|
Strong seasonal pattern
: The sales forecast for your firm for 2014 is $9.1 million. The cost of processing (production) is 50% of sales. Sales and administrative expenses are $100,000 per month. A close look at the sales forecast shows a strong seasonal pattern. The s..
|
|
Need to make in order to achieve your goal
: Explain all of the above questions as thoroughly one page as possible. Answers to the questions must be in Times New Roman 12 point font, , standard one inch margins, typed, double spaced, spell-checked, grammar-checked, and proofread.
|
|
How does the biblical story connect to your own life story
: Why was it important for the ancient Israelites to remember their story? How does the biblical story connect to your own life story?
|
|
How does popenoe define familism
: What does Popenoe see as some of the major forces (political, economic, social/cultural) contributing to "family decline?" How does Popenoe define "familism? Where does familism fit into his thesis of family decline
|
|
Minimum percentage increase in the value of warrant
: The common stock has a current market price of $38 per share and the warrant's market price is $4. If the market price of the stock increases to $41.80, the minimum percentage increase in the value of the warrant is?
|
|
How you would collect and analyze the data
: Describe the variables in your study. Indicate whether they are independent, dependent, moderating, or intervening. Describe the relationship among the variables. Tell how they will be measured.
|
|
Economic and sociological theory of marriage
: What are the fundamental differences and similarities between the "economic" theory of marriage and the "sociological" theory of marriage
|
|
Show the software that goes in the eeprom
: Show the software that goes in the RAM (uninitialized on power up).
|
|
Total market value of the rxr company
: On January 1, the total market value of the RXR Company was $100 million. During the year, the firm plans to raise and invest $30 million in a new project. Compared to the risks of the firm's existing assets, the project is about average-risk. The..
|