Reference no: EM131387699
1. One year ago, you puchased 175 shares of ABC stock for $43.77 per share. During the year, you received a dividend of $5.66 per share. Today, you sold all your shares for $54.34. What are the percentage return on your investment?
2. ABC Company has $1,000 face value bonds outstanding. These bonds pay interest semiannually, mature in 7 years, and have a 8 percent coupon.The current price of the bond is $900. What is the yield to maturity?
3. ABC Company is considering a new project. The project is expected to generate annual sales of $62,350, variable costs of $16,825, and fixed costs of $16,208. The depreciation expense each year is $17,710 and the tax rate is 32 percent. What is the annual operating cash flow?
4. Suppose the nominal rate is 11.11% and the inflation rate is 6.61%. Solve for the real rate. Use the Fisher Effect formula.
5. Five years ago, ABC Company invested $52,338 in a machinery. The investment in net working capital was $8,588 which would be recovered at the end of the project. Today, ABC Company is selling the machinery for $15,938. The book value of the machinery is $16,024. The tax rate is 30 percent. What are the terminal cash flows in Year 5?
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What is the return for stock d
: You have a $66,743 portfolio that consists of $15,493 invested in Stock A, $18,959 invested in Stock B, $5,384 invested in Stock C, and the remainder in Stock D. The portfolio has a return of 21 percent. The return for Stock A is 14.1 percent, for..
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Whether constructive trust should be imposed on property
: She then took possession of both, leaving Sharp with assets of $3,000. Discuss whether a constructive trust should be imposed on the property transferred to Kosmalski.
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How many years will the following take
: How many years will the following take? $ 518 to grow to $36,753 if invested at 14.54 percent, compounded annually.
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What is the expected value of this bet
: Consider the following bet: A 50% chance of winning $0, a 40% chance of winning $10, and a 10% chance of winning $100. What is the expected value of this bet? What is the variance of the bet? If a ticket for this bet cost $15, would a risk averse per..
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What is the yield to maturity
: ABC Company has $1,000 face value bonds outstanding. These bonds pay interest semiannually, mature in 7 years, and have a 8 percent coupon.The current price of the bond is $900. What is the yield to maturity?
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Identify an article of interest to you that is relevant
: Identify an article of interest to you and which covers a topic relevant to the concepts covered in Chapters or the Plug It In sections in the textbook assigned so far. This artice cannot be already listed in the folders in the Course_Resources ar..
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Provide decision in the given case
: Nine of the nieces and nephews contested the will, claiming lack of testamentary capacity, undue influence by the Ramls, and improper execution. The county court admitted the will to probate, the circuit court affirmed, and the contestants appeale..
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County growing corn in perfectly competitive market
: Assume there are three farms in a county growing corn in a perfectly competitive market. The overall global market supply of corn is given by QS=P. The demand function equals QD=100-P. Calculate the overall market equilibrium quantity and the corresp..
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Methods of inventory valuation
: Which methods shows the highest costs of goods sold differ under the three methods of inventory valuation. Explain why ending inventory and cost of goods sold differ under the three methods of inventory valuation.
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