Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Question: The Imperial Socket Company has a subsidiary in Brazil. At present, the subsidiary offers its customers terms of 2 / 10, net 60. The Brazilian operation has been under pressure to extend the terms granted to its customers in order to meet the competition. After an appraisal of the situation, the company believes that the demand for its product is not very sensitive to price. A proposal by the Brazilian executive states that prices could be increased by 10 percent if terms of 1/30, net 90 were offered, with overall sales unaffected by these changes. At present, 80 percent of the customers take advantage of the full credit period offered. On the remaining 20 percent of sales, any cash discounts offered are taken. These proportions are expected to remain the same if the new credit terms were implemented. Sales average $300,000 per month. All receivables are financed through the local bank, where financing is available at 20-percent annual interest. Past experience has shown that 1.5 percent of sales that do not avail themselves of the cash discount are written off as bad debts. The corporate tax rate is 40 percent.
(a) Should the company introduce the proposal suggested by the Brazilian executive?
(b) Are there other factors to be considered before implementing such a change?
Compute the Sharp Ratio of the combined risky portfolio.
Assume today is November 1. What will the difference, if any, be between this bond's clean and dirty prices today?
janet jackson will invest 30000 today. she needs 222000 in 21 years. what annual interest rate must she
Use the "balance sheet equation" to determine owners" equity if liabilities are $5 million and assets are $10 million.
Describe the factors you would need to know to assess the economic impact on Rolls-Royce of the change in the dollar: sterling exchange rate. Does inflation affect Rolls-Royce's exposure?
a. How much less would you be willing to pay for a security that pays $100 quarterly for 10 years compared to one that pays $100 quarterly forever? Assume 12% APR. b. What are the general arguments against hedging
What do you see as the biggest challenges in conducting a brand audit? What steps would you take to overcome them?
A firm has $1,000,000 in its common stock account and $2,500,000 in its paid-in capital account. The firm issued 100,000 shares of common stock. What was the original issue price if only one stock issue has ever been sold?
At one time many customers turned to Sears for home improvement projects. As the economy boomed many warehouse stores began to open their doors.
Ehud Katz anticipates that the price of Trinity Technology stock will go up. Its current price is $55.50 per share and he has $3,330 to invest. How many shares may he purchase with a cash brokerage account?
You have invested 30 percent of your portfolio in Jacob, Inc.40 percent in Bella Co., and 30 percent in Edward Resource.
1. An experiment is conducted as follows: A die is rolled and the number of spots is noted. If the number of spots is 5 or fewer the experiment is over. If a 6 is rolled, then a coin is tossed and we note if it is H or T.
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd