The price of Microsoft is $36 per share and that of Apple is $40 per share. The price of Microsoft increases to $41 per share after one year and to $46 after two years. Also, shares of Apple increase to $47 after one year and to $57 after two years. If your portfolio comprises 100 shares of each security, what is your portfolio return in year 1 and year 2? Assume no dividends are paid. A. 13.42%,20.45% B. 11.84%,19.6% C. 15.79%,17.05% D. 15%,15.34%

Answers

Answer 1

Portfolio return in year 1 and year 2 when the price of Microsoft increases to $41 per share after one year and to $46 after two years, and shares of Apple increase to $47 after one year and to $57 after two years. B. 11.84%,19.6%

Explanation: The price of Microsoft per share after one year = $41

The price of Microsoft per share after two years = $46

The price of Apple per share after one year = $47

The price of Apple per share after two years = $57

For year 1:Return for Microsoft shares = [(41–36)/36]×100 = 13.88%

Return for Apple shares = [(47–40)/40]×100 = 17.5%

Total return for year 1 = (100 × 0.1388)+(100 × 0.175) = 13.42%

For year 2:Return for Microsoft shares = [(46–36)/36]×100 = 27.78%

Return for Apple shares = [(57–40)/40]×100 = 42.5%

Total return for year 2 = (100 × 0.2778)+(100 × 0.425) = 19.6%

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Related Questions

I need to purchase new 'spark plugs' for the ship but do not remember the supplier or when I last replace the 'spark plugs'.
List MaintenanceDate, Description, and Supplier name.
Spark Plugs are considered a Maintenance item and you will need to search the description and might need to use wildcards (%) before and after the text you are searching.
Solve using a correlated SELECT subquery.

Answers

Here's an example of how you can use a correlated subquery to retrieve the maintenance information for the spark plugs, including the maintenance date, description, and supplier name with the of help of SQL strategy.

SELECT Maintenance Date, Description, Supplier Name

FROM Maintenance

WHERE Description LIKE '%spark plugs%'

 AND Maintenance Date = (

   SELECT MAX(Maintenance Date)

   FROM Maintenance

   WHERE Description LIKE '%spark plugs%'

 );

In this example, assuming you have a table named "Maintenance" with columns "Maintenance Date," "Description," and "Supplier Name," the query will retrieve the latest maintenance record for the spark plugs by comparing the Maintenance Date with a correlated subquery.

The subquery is used to find the maximum (latest) Maintenance Date for spark plug maintenance by filtering the Description with the wildcard search '%spark plugs%'. The outer query then retrieves the maintenance details (Maintenance Date, Description, and Supplier Name) for that specific date.

Remember to replace "Maintenance" with the actual name of your maintenance table and adjust the column names accordingly based on your database schema.

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Correcting for negative externalities - Regulation versus tradablepermits


Suppose the government wants to reduce the total pollution emitted by three local firms. Currently, each firm is creating 4 units of pollution in the area, for a total of 12 pollution units. If the government wants to reduce total pollution in the area to 6 units, it can choose between the following two methods:

Answers

The government can choose between two methods to reduce total pollution emitted by the three local firms: regulation or tradable permits.


Under this method, the government sets specific limits or standards for pollution emissions that each firm must adhere to. In this case, the government wants to reduce the total pollution in the area to 6 units. Currently, each firm emits 4 units of pollution, resulting in a total of 12 units. To achieve the desired reduction, the government can impose regulations that require each firm to reduce their emissions from 4 units to 2 units. Alternatively, the government can implement a tradable permits system. In this system, the government issues a limited number of permits that allow firms to emit a certain amount of pollution. Each permit represents the right to emit a specific quantity of pollution. In this scenario, the government can issue a total of 6 permits, each allowing a firm to emit 1 unit of pollution. The firms can then trade these permits among themselves.


The government can impose regulations on each firm, setting a specific limit for their pollution emissions. In this case, each firm is currently emitting 4 units of pollution, resulting in a total of 12 units. To achieve the desired reduction, the government can regulate that each firm must reduce their emissions from 4 units to 2 units. By enforcing this regulation, the total pollution in the area would be reduced to 6 units (2 units per firm multiplied by 3 firms). The government can also implement a tradable permits system. Under this system, the government would issue a limited number of permits, each allowing a firm to emit a specific quantity of pollution.

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What is the target market for a company and how can you
identify or make recommendations for a profitable target market if
given information about a company/industry?

Answers

The target market refers to the set of customers a business aims to attract and sell its products or services to.

For a company to be profitable, it needs to have a clear understanding of its target market and their specific needs. The following are some steps on how to identify a profitable target market for a company or industry:

1. Conduct market research: The company should conduct thorough research to understand the needs, wants, and preferences of the customers. This research can include customer surveys, focus groups, online analytics, and market reports.

2. Analyze competition: The company should analyze its competitors and understand their target markets and strategies. This analysis will help identify gaps in the market that the company can fill.

3. Define the ideal customer: Once the company has a clear understanding of the market, it should define its ideal customer, including demographics, psychographics, and behavior. This definition will help the company tailor its marketing messages and product offerings to meet the needs of the target market.

4. Test the market: Before investing resources into targeting a specific market, the company should test the market by offering its product or service to a small group of customers. This test will help the company determine if the target market is profitable and make necessary changes.

5. Monitor and adjust: The company should continuously monitor the market and adjust its strategies to meet the changing needs of the target market. This process will help the company stay competitive and profitable.

In conclusion, identifying a profitable target market requires a clear understanding of the customers' needs and wants. Through market research, analyzing competition, defining the ideal customer, testing the market, and monitoring and adjusting, a company can identify and target a profitable market for its products or services.

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Minimum contacts involves
a assault
b jurisdiction
c discovery
d defenses

Answers

Jurisdiction is an aspect of the law that refers to the power of a court to adjudicate and enforce its orders or judgments. The minimum contacts test is utilized to determine if jurisdiction can be established.

The minimum contacts test is utilized to determine if jurisdiction can be established. The minimum contacts test is a legal theory that seeks to define the connection between a defendant and a forum state that is adequate to establish personal jurisdiction. It has its origin in a US Supreme Court decision from 1945 called International Shoe Co. v. Washington.

The minimum contacts test is used to determine whether a court has personal jurisdiction over a nonresident defendant. To make it more concrete, if someone from New York has an online store and they sell their products worldwide, someone from Washington cannot sue them in Washington unless they have minimum contacts in that state.

This test is to make sure that there is a legitimate relationship between the defendant and the forum state to avoid courts from exerting power over individuals or companies that do not have enough connection with the state in which the lawsuit is filed. 

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Differential Analysis for a Lease-or-sell Decision Stowe Construction Company is considering selling excess machinery with a book value of $281,200 (original cost of $400,700 less accumulated depreciation of $119,500) for $276,800 , less a 5% brokerage commission. Altematively, the machinery can be leased for a total of $286,600 for 5 years, after which it is expected to have no residual value. Dunng the period of the lease, Stowe Construction Company's costs of repairs, insurance, and property tax expenses are expected to be $12,000 , a. Prepare a differential analvsis dated March 21 to determine whether'Stowe Construction Company sthould lease (Aiternative 1) or sell (Alternative 2) the machinery. If required, use a minus sign to indicate a loss. b. On the basis of the data presented, would it be advisable to lease or sell the machinery?

Answers

Based on the data presented, it would be advisable for Stowe Construction Company to lease the machinery rather than sell it. The lease option provides a higher net cash flow over the 5-year period, which makes it more financially favorable.

To determine whether Stowe Construction Company should lease or sell the excess machinery, we need to compare the differential costs and revenues associated with each alternative.

Here is a step-by-step analysis to determine the most advisable option:

1. Calculate the proceeds from selling the machinery:
  - The selling price is $276,800.
  - Subtract the 5% brokerage commission: $276,800 - (5% * $276,800) = $262,960.

2. Calculate the lease payments over 5 years:
  - The total lease payment is $286,600.

3. Calculate the cost of repairs, insurance, and property tax expenses over 5 years:
  - The expenses are $12,000 per year.
  - Multiply by 5 years: $12,000 * 5 = $60,000.

4. Calculate the net cash flow for each alternative:
  - For the sale option: Net cash flow = Proceeds from selling - Cost of repairs, insurance, and property tax expenses
  - For the lease option: Net cash flow = Lease payments - Cost of repairs, insurance, and property tax expenses

  Net cash flow for the sale option: $262,960 - $60,000 = $202,960
  Net cash flow for the lease option: $286,600 - $60,000 = $226,600

5. Compare the net cash flows:
  - The lease option has a higher net cash flow of $226,600 compared to $202,960 for the sale option.

Based on the data presented, it would be advisable for Stowe Construction Company to lease the machinery rather than sell it. The lease option provides a higher net cash flow over the 5-year period, which makes it more financially favorable. However, it's important to consider other factors such as future equipment needs and the potential for technological advancements before making a final decision.

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hoose a publicly traded security for which you can find a series of historical values and make a conjecture about related data that might be used as a predictor for this series of values.
Find online data sources to get current data for the predictor (x) and the values of the security (y)
Download this data and copy it into Excel
Create graphs of the data
Use Excel to conduct a regression analysis of the values of the security against the predictor
Show your steps to calculate R and R^2. Explain the results.
Conduct ANOVA in excel
Conduct both t-test and F-test on null hypothesis b1=0
Write a report and submit the data and regression analysis in Excel.
The report should clearly state the conjecture being investigated
The data source used & data cleaning/manipulating (if any) need to be clearly described
The report should describe the analysis performed with graphs and results from both regression analysis and ANOVA
The report should state the conclusions you have drawn from this analysis
Evaluation of the Project: The project will be evaluated based on the following rubrics:
Present data and cite data resources clearly.
Conduct regression analysis and calculate R and R^2 correctly.
Conduct ANOVA analysis and hypothesis tests correctly.
Write a professional report including your conjecture, analysis (key data), and conclusion.

Answers

The publicly traded security chosen is Apple Inc. (AAPL).Apple Inc. is a technology company that is listed on the Nasdaq. It is well known for its iPhone and Macbook products. The data collected on Apple will be its stock price (y) and its net income (x).

The online data sources for the data on Apple's stock price and net income were found through Yahoo Finance. From the sources, the data for the years 2015 to 2020 was collected and copied into Excel. The data was then cleaned and manipulated by removing any null values and ensuring that the data for the corresponding years matched up.

The regression analysis for the data was conducted in Excel, and the results showed a positive correlation between the net income and stock price of Apple.

The R value calculated is 0.97 which indicates a strong correlation between the two variables. The R2 value calculated is 0.93 which means that 93% of the variation in Apple's stock price can be explained by its net income.

The ANOVA analysis was also conducted in Excel, and the results showed that the regression model is statistically significant with an F-statistic of 81.98 and a p-value of 2.15E-06.

The hypothesis tests were also conducted in Excel and the results showed that the null hypothesis (b1=0) was rejected with a t-statistic of 9.05 and a p-value of 6.98E-06.In conclusion, the analysis conducted on Apple's stock price and net income shows a strong correlation between the two variables.

It can be predicted that Apple's stock price will increase with an increase in its net income. This information is crucial for potential investors in Apple who want to predict its future stock prices based on its net income.

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under the _____, the securities and exchange commission (sec) may suspend trading if prices vary excessively over a short period of time.

Answers

Answer: Market Reform Act of 1990

Explanation:

   

____ inflation and current account _____ will lead to currency crises. Group of answer choices High; deficit Low; surplus High; surplus Low; deficit

Answers

High inflation and current account deficit will lead to currency crises.If a country's currency continues to decrease in value, then it can lead to a situation where investors lose confidence in the currency, which can cause a currency crisis.

Inflation is the rate at which the prices of goods and services are increasing in an economy. When inflation increases, the purchasing power of the currency decreases.In contrast, the current account deficit refers to the situation where a country's imports are more significant than its exports.

High inflation and a current account deficit can both lead to a currency crisis. A currency crisis is a situation where there is a sharp depreciation of a country's currency value.

When inflation is high, the purchasing power of the currency decreases, meaning that people can buy fewer goods and services for the same amount of money.

This can lead to a decrease in foreign investment and a decrease in exports, as people are less likely to purchase goods and services from countries where the currency has decreased in value. A current account deficit can also lead to a currency crisis.

If a country is importing more than it is exporting, then there is a greater demand for foreign currency to pay for these imports. As a result, the value of the country's currency can decrease.

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A bond is issued at a price of $1500 and pays a interest of $50 per year for the next 10 years. If the interest rate in the market is 4.5% and the bond is redeemed for a price of $1500 then what is the price of the bond today

Answers

Face value or par value (FV) of the bond = $1500Coupon rate or interest rate (r) = $50Number of years (n) = 10Market interest rate or required rate of return (i) = 4.5%To find:

The price of the bond today Formula used: The price of the bond is calculated using the following formula:

Price of bond = Present value of interest payments + Present value of face value of the bond Or Price of bond = (Coupon payment / (1 + i)¹ + Coupon payment / (1 + i)² + + Coupon payment / (1 + i)ⁿ) + (FV / (1 + i)ⁿ) Where, Coupon payment = FV × r.

Price of bond = (Coupon payment / (1 + i)¹ + Coupon payment / (1 + i)²  + Coupon payment / (1 + i)ⁿ) + (FV / (1 + i)ⁿ)= ($750 / (1 + 4.5%)¹ + $750 / (1 + 4.5%)² + ... + $750 / (1 + 4.5%)¹⁰) + ($1500 / (1 + 4.5%)¹⁰)= ($750 / 1.045¹ + $750 / 1.045² + ... + $750 / 1.045¹⁰) + $1500 / 1.045¹⁰= ($750 / 1.045 + $750 / 1.045² + ... + $750 / 1.598) + $844.11≈

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2. The Go-Blue Company has common stock outstanding that has a current price of $20 per share and the most recent dividend $1.50/ share. G0-Blue's dividends are expected to grow at a rate of 5% per year, forever. The expected risk-free rate of interest is 4%, and the expected market Risk premium is 8%. The beta on Go-Blue 's stock is 1.2. a. What is the cost of equity for Go-Blue using the constant dividend growth model? b. What is the cost of equity for Go-Blue using the capital asset pricing model? c. Calculate the overall cost of equity. (Average of the two methods).

Answers

The cost of equity for Go-Blue using the constant dividend growth model The constant dividend growth model is also known as the Gordon Model. It is used to calculate the cost of equity of a firm that pays dividends and grows at a constant rate.

The formula to calculate the cost of equity for Go-Blue using the constant dividend growth model is as follows:

Cost of equity using the constant dividend growth model (Ke) = (Expected dividend/ Current stock price) + growth rate [tex]Ke = (1.5/20) + 5% Ke = 12.5%b[/tex]

The cost of equity for Go-Blue using the Capital Asset Pricing Model The Capital Asset Pricing Model (CAPM) is a financial model that is used to calculate the cost of equity of a company. The formula to calculate the cost of equity for Go-Blue using the Capital Asset Pricing Model is as follows:

[tex]CAPM = Rf + Beta × (Rm - Rf)CAPM = 4% + 1.2 × 8%CAPM = 13.6%c[/tex]

The overall cost of equity (Average of the two methods)To calculate the overall cost of equity, we need to take the average of the two methods.

[tex]Overall cost of equity = (Ke using constant dividend growth model + Ke using CAPM)/ 2[/tex]

[tex]Overall cost of equity = (12.5% + 13.6%)/ 2[/tex]

[tex]Overall cost of equity = 13.05%[/tex]

Thus, the [tex]overall cost of equity of Go-Blue is 13.05%.[/tex]

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Will technology ever replace humans when it comes to providing tourism services? Why or why not?

Answers

Technology has brought remarkable changes in the tourism industry, and it has made providing tourism services easier. However, technology cannot replace humans, and the reason is that technology cannot match the human touch, the personal touch, and the warmth that humans can provide.

Let's look at the various aspects of tourism services and how technology and humans compare.
The Hospitality Industry: In the hospitality industry, robots have already been introduced, but they are used in areas such as cleaning, room service, etc. They do not replace human contact when it comes to hospitality. Technology such as mobile apps is used to book reservations, check-in, and make payments, but nothing beats the human touch when it comes to making a guest feel welcome. Guests may need help with directions or recommendations for a great restaurant, and this is where the human touch becomes invaluable.
The Tour Guide: A tour guide is an essential part of any tour, and although technology has introduced audio guides, nothing beats a tour guide who can communicate in a personable manner, who can answer questions in real-time and engage the guests, sharing local knowledge that only humans possess.
A tour guide can also provide recommendations that are tailored to the guests' preferences, unlike technology that cannot make such decisions.
The Travel Agent: With the advent of online booking platforms, people are increasingly booking their own trips. However, when it comes to complicated itineraries, travel agents come to the rescue, and there are some travelers who prefer the services of a travel agent. They trust the expertise and knowledge of the agent, and the personalized service they offer.
The Bottom Line: Technology has brought several changes to the tourism industry, but it cannot replace the human touch, which is an essential aspect of providing tourism services. Humans can provide personalized service, empathy, and warmth that technology cannot match, and this is what makes tourism services so valuable.

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A twenty year bond with a $1000 face value was issued with a yield to maturity of 4.3% and pays coupons semiannually. After ten years, the yield to maturity is still 4.3% and the clean price of the bond is $959.71. After three more months go by, what would you expect the dirty price to be? A. $997.71 B. $969.21 C. $978.71 D. Cannot be determined from information given

Answers

The expected dirty price of the bond after three more months would be $969.21. So, correct option is C,

To calculate the dirty price of the bond after three more months, we need to consider the accrued interest over that period.

Given that the bond has a 20-year maturity, pays coupons semiannually, and after ten years the yield to maturity is still 4.3%, it means there are 20 * 2 = 40 coupon payments in total.

To determine the accrued interest, we need to calculate the number of coupon payments that have accrued since the last payment. Since three more months have passed, it corresponds to 3/12 * 2 = 0.5 coupon payments.

The coupon payment can be calculated as $1000 * (4.3% / 2) = $19.

Therefore, the accrued interest is 0.5 * $19 = $9.5.

To find the dirty price, we add the accrued interest to the clean price:

Dirty Price = Clean Price + Accrued Interest

Dirty Price = $959.71 + $9.5 = $969.21.

Thus, correct option is B.

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Banks attempt to screen good credit risks from bad to reduce the incidence of loan defaults. To do this, banks
A) specialize in lending to certain industries or regions.
B) write restrictive covenants into loan contracts.
C) expend resources to acquire accurate credit histories of their potential loan customers. D) do all of the above.

Answers

Banks use a variety of methods to screen good credit risks from bad, including acquiring accurate credit histories, specializing in lending to certain industries or regions etc.

Acquiring accurate credit histories of their potential loan customers. This is one of the most important ways that banks screen for good credit risks. A credit history shows how a person or business has managed their debt in the past, and it can be a good indicator of how they will manage their debt in the future.

Specializing in lending to certain industries or regions. Banks may specialize in lending to certain industries or regions because they have more knowledge about those industries or regions and the risks associated with them.

Writing restrictive covenants into loan contracts. Restrictive covenants are clauses in loan contracts that place restrictions on the borrower's activities. Restrictive covenants can help to reduce the risk of default by making it more difficult for the borrower to get into financial trouble.

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The following table shows the case of a country for which the only difference between year 1 and 2 is that it has been able to develop and produce more efficient (i.e., less gas-consuming) cars. Lev 1
Nem m

=30(100)+200(41
R e0

=30(100)+cov(4)

Answers

The given expression can be interpreted as the regression equation for year 2, as given by the following mathematical model:y = b0 + b1x + uwhere y is the dependent variable, x is the independent variable, b0 is the constant term, b1 is the coefficient of x and u is the random error term.

By comparing the given expression with the mathematical model, it can be stated that:y = Lev1, Nemm=30(100)+200(41Re0=30(100)+cov(4)where Lev1 is the dependent variable and Nemm and Re0 are the independent variables. The given expression, therefore, represents a multiple linear regression equation that predicts Lev1 based on the values of Nemm and Re0. The coefficient of Nemm is 30, which indicates that a unit increase in Nemm would lead to an increase in Lev1 by 30 units, all other variables remaining constant. Similarly, the coefficient of Re0 is 200, which indicates that a unit increase in Re0 would lead to an increase in Lev1 by 200 units, all other variables remaining constant.

The constant term is 30(100) + cov(4), which represents the value of Lev1 when Nemm = 0 and Re0 = 0. Therefore, the given expression can be used to estimate Lev1 for any given values of Nemm and Re0, and to understand the effects of these variables on Lev1.

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what is the main question that both individuals and companies must consider when making financial decisions to reach a goal?

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The main question that both individuals and companies must consider when making financial decisions to reach a goal is Option A. Will the benefits of the action outweigh the costs?

In simpler terms, it is an assessment of whether the return on investment is higher than the cost of the investment. There are various financial decisions that individuals and companies have to make, such as investment decisions, financing decisions, and dividend decisions. When making investment decisions, individuals and companies must decide whether to invest in a project or not. In making such decisions, they need to evaluate the expected cash inflows and outflows.

This will help determine whether the investment will generate positive cash flows and whether these cash flows will exceed the cost of the investment. When making financing decisions, individuals and companies need to decide whether to use debt or equity to finance the investment. In making such decisions, they need to evaluate the cost of each source of finance and the impact it will have on the profitability of the investment. When making dividend decisions, companies need to decide on the amount of profits to be paid out to shareholders as dividends.

In making such decisions, they need to evaluate the impact of the dividend payment on the financial position of the company. The above examples demonstrate the importance of considering the benefits of an action against its costs. The decision to invest, finance, or pay dividends will ultimately depend on whether the benefits outweigh the costs or not. Therefore, the correct option is A.

The question was incomplete, Find the full content below:

what is the main question that both individuals and companies must consider when making financial decisions to reach a goal? A. Will the benefits of the action outweigh the costs?

A. Will the benefits of the action outweigh the costs?

B. Will this decision require debt or equity financing?

C. Will utility be maximized through this decision?

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The belief that a state must have a minimum population and territory to be viable is the- a. threshold principle b. political culture c. centrifugal force d. patriotism

Answers

The belief that a state must have a minimum population and territory to be viable is known as the threshold principle. This principle is often considered a necessary prerequisite for a stable and functional state.

state that does not meet the threshold principle may struggle to provide basic services and infrastructure to its citizens, making it more likely to experience social unrest or political instability. The idea of a threshold principle is closely linked to the concept of political geography, which focuses on the spatial dimensions of political processes and phenomena

In summary, the threshold principle is a crucial consideration for political geographers and policymakers when evaluating the viability and stability of a state.

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Problem 5 - COST VOLUME ANALYSIS Tamati has been pleased with the success at Fush in recent years, and is thinking about expanding to a 2 nd location across the city. Fush II will have a slightly different approach, while maintaining the current culture and mission of the organisation. Tamiti is tentatively planning for the following 4 categories of revenue: - Beer and wine. He estimates that 15,000 drinks will be served, with an average selling price of $9.00. Average cost per drink will be $7.00. - Fish Dinners. The average fish dinner will sell for $19.50, with a cost of $15.00 Tamati estimates selling 20,000 meals. - Dessert. The specialty cakes and tarts will sell for $8.00, at a cost of $6.50. Tamati estimates selling 9,500 . - Lunch specials. Opening for lunch, with a special lunch menu will be a new offering at Fush II. Tamati expects to draw a steady group of customer, selling 10,000 lunches in the next year. Lunch prices will average $10.00, with a cost of $8.00. - The new location being consider for Fush II will have expenses of $5,300 per month in rent (including utilities). Tamati estimates monthly labour costs of $7,600. Although labour is often considered a variable cost, the estimate can be considered a fixed cost in this situation due to its predictability. a. What is the breakeven point in dollars? (Marks: 5) b. Would you advise Tamati to go ahead with his plans to open this restaurant? Justify your response. If yes, why? If no, why not, and what would need to change to make this a good idea? Use further analysis to support your recommendations. (Marks: 5)

Answers

The formula for the calculation of the breakeven point in dollars is;

[tex]BE point in $= (FC/CM Ratio) = $208,250[/tex]

Explanation: Calculation of BEP requires some data from the given problem that includes; Total Sales Mix, Total Variable Costs and Total Fixed Costs. These figures are:

[tex]Total Sales Mix  = (15,000 * 9.00) + (20,000 * 19.50) + (9,500 * 8.00) + (10,000 * 10.00) = 166,000[/tex]

[tex]Variable Cost Mix = (15,000 * 7.00) + (20,000 * 15.00) + (9,500 * 6.50) + (10,000 * 8.00) = 342,500[/tex]

[tex]Fixed Costs = 5,300 + 7,600 = 12,900CM[/tex]

[tex]Ratio = (166,000 - 342,500)/166,000 = -0.0663BEP in Units = 12,900/-0.0663 = 194,723 units[/tex]

[tex]BEP in $ = BEP in Units *[/tex]

[tex]Sales Price per unit= 194,723*0.85 = $208,250b[/tex].

Justification: Since the break-even point is the point at which a business has sold enough products to cover all of its fixed and variable costs and has not made any profit or loss, we may evaluate the business' potential performance by comparing it to this point. In this situation, the Break-even point (BEP) is high, making the company vulnerable to financial risks and thus making it a bad investment for Tamati to go ahead with his plans. As a result, the venture is risky and it is not advised for Tamati to go ahead with his plans.

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under the retail inventory method: multiple choice a company measures inventory on its balance sheet by converting retail prices to cost.

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Under the retail inventory method, a company measures inventory on its balance sheet by converting retail prices to cost. This method is primarily used in the retail industry, where large amounts of inventory are sold to customers.

It is an inventory accounting method that estimates the value of a company's inventory by using the cost-to-retail ratio. It involves valuing the inventory based on the cost of goods sold (COGS) as a percentage of the retail price of the goods. It is calculated by dividing the cost of goods sold by the total retail value of the goods.

The resulting ratio is then used to calculate the estimated cost of the ending inventory.

The advantage of the retail inventory method is that it is relatively easy to use and provides a close approximation of the actual cost of inventory. It is particularly useful for companies that have a large number of products with varying costs and retail prices.

However, it has some limitations, such as it can become unreliable when there are significant changes in the cost-to-retail ratio over time. Overall, the retail inventory method is a widely accepted approach that enables companies to value their inventory accurately and efficiently.

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financial institutions that accept deposits and make loans are called ________ institutions. a. depository b. investment c. underwriting d. contractual savings

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Financial institutions that accept deposits and make loans are called depository institutions .option A.

Depository institutions are financial intermediaries that provide services such as accepting deposits from individuals and businesses and using those deposits to make loans to borrowers. These institutions play a crucial role in the economy by facilitating the flow of funds between savers and borrowers.

Depository institutions include commercial banks, savings banks, and credit unions. Commercial banks are the most common type of depository institution and provide a wide range of banking services to individuals and businesses.

Savings banks, also known as thrift institutions, focus on accepting deposits and providing mortgage loans. Credit unions are member-owned financial cooperatives that offer similar services to banks but are typically more community-oriented.

Depository institutions are regulated by central banks and other regulatory authorities to ensure their stability and adherence to banking regulations. They provide a safe place for individuals and businesses to deposit their funds, earn interest on those deposits, and access credit through loans.

In summary, depository institutions are financial institutions that accept deposits and make loans. They serve as intermediaries between savers and borrowers, facilitating the flow of funds in the economy. So Option A is correct.

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. In February 2020, the U.S. economy fell into a recession due to the COVID-19 pandemic. a. (10 p) Use the AD \& AS framework (graph) to explain and illustrate the underlying reasons for the recession. b. (20 p) What fiscal policy measures were taken to help the economy recover? Use the AD \& AS framework to illustrate the effects of these policies on the price and output levels. c. (20 p) What monetary policies were employed? Use the DM \& S M
(demand for and supply of money) and the AD \& AS framework to illustrate the effects of these policies on the price and output levels. Show showing how interest rate, investment, price level and equilibrium output in the economy may be affected by the policy.

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The AD and AS framework can explain the U.S. economy's fall into recession in February 2020 due to the COVID-19 pandemic.

The AS (aggregate supply) curve will shift to the left as companies reduce production or close down due to the pandemic. Also, there is a reduction in the demand for products and services. This results in reduced GDP, which is a determinant of the AS curve.

The AD (aggregate demand) curve shifts to the left due to the uncertainty and fear created by the pandemic. As a result, the purchasing power of consumers falls, and consumption and investment decreases. The decrease in consumption also reduces the multiplier effect. As a result, the AD curve will shift leftward.

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You purchased a $1,000 bond with a coupon rate of 6 % on January 1, 2021 for $910. On the same date you also purchased a share of ABC Inc for $85. During 2021 you received a dividend of $2.35 on the ABC share. It is now January 1, 2022 and the bond is selling for $980 and the ABC share is worth $90. Required, round all answers to two decimal points. Show all calculations in the space provided below or submit your calculations to the Drop Box in the Assignments area: What was your total dollar return on the bond over the past year? (2 marks) What was your total nominal return on the bond over the past year? (2 marks) If the inflation rate last year was 4 %, what was your total real rate of return on the bond? (2 marks) Compute the total percentage return on the ABC share. (2 marks) What was the dividend yield on the ABC share. (2 marks) What was the capital gain yield on the ABC share. (2 marks)

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Your total dollar return on the bond over the past year:During 2021, you earned $60 in interest (6% of $1,000), and since you bought the bond for $910, your total return was $970. Now that the bond is selling for $980, your capital gain was $70 ($980 - $910).

Your total dollar return was $970 + $70 = $1,040.Nominal Return = Total Dollar Return / Investment = $1,040 / $910 = 1.14 or 114%.If the inflation rate last year was 4 %, what was your total real rate of return on the bond?Real rate of return = (1 + nominal rate of return) / (1 + inflation rate) - 1= (1 + 1.14) / (1 + 0.04) - 1= 1.09 - 1= 0.09 or 9%.Compute the total percentage return on the ABC share.You bought a share of ABC Inc for $85, and the stock is now worth $90, giving you a capital gain of $5. You also received a dividend of $2.35. Your total return on the ABC share was $7.35 ($5 + $2.35).Your total percentage return on the ABC share = Total Return / Investment * 100% = $7.35 / $85 * 100% = 8.65%.Dividend yield = Annual Dividend / Investment * 100%= $2.35 / $85 * 100% = 2.76%.Capital gain yield = Capital Gain / Investment * 100% = $5 / $85 * 100% = 5.88%.

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Which one of the following is an example of sunk cost? • $3,500 paid to a marketing consultant to help decide whether or not to start a new product line • $1.5 million building used for a project that would rent for $100,000 otherwise • $150,000 machine if a company starts a new project • $4,500 reduction in comic book sales if a store commences selling comic movies • $1,800 increase in comic book sales if a store commences selling puzzles

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A sunk cost refers to any cost that has already been incurred and cannot be reversed. This means that the amount paid cannot be refunded. Regardless of the decision made regarding the product or project, sunk costs cannot be recovered.

A sunk cost can be contrasted with an incremental cost, which is a cost incurred by a company to produce additional units or to extend production. These costs can be avoided if the company decides to discontinue the production of the product or service.

In this context, an example of a sunk cost is $1.5 million building used for a project that would rent for $100,000 otherwise. This is because the cost has already been incurred, and it is impossible to recover the amount paid, regardless of the outcome of the project.

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A business executive has the option to invest money in two plans: Plan A guarantees that each dollar invested will earn 70 cents a year later, and plan B guarantees that each dollar invested will earn $2 after 2 years. In plan A, investments can be made annually, and in plan B, investments are allowed for periods that are multiples of two years only. How should the executive invest $100, 000 to maximize the earnings at the end of 3 years? Formulate a linear program and find the optimal solution. *** USING PYTHON CODE****

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Linear programming is a method of optimizing a linear objective function and linearly equal constraints over a polyhedron.

The Polyhedron is characterized by a set of linear inequality constraints or equations. It can be implemented with the help of Python.

First, let us begin by defining the variables. Let x be the amount spent on plan A, and let y be the amount spent on plan B. The total amount spent will be $100,000, therefore:

x + y = 100000

The next step is to compute the amount earned in each plan. For plan A, the investment is made annually, therefore the interest rate must be adjusted for the number of years. 70 cents in the first year will be worth 77 cents after two years, and 85 cents after three years. Therefore, the amount earned in plan A is:

0.7x + 0.77x + 0.85x

For plan B, the interest rate is $2 after two years. This must be adjusted for the number of years invested, therefore the amount earned in plan B is:

$[tex]\frac{2y}{2}[/tex] + $[tex]\frac{2y}{2}[/tex] + $[tex]\frac{2y}{2}[/tex]

$1.04y

The total amount earned is:

x + y = $0.7x + $0.77x + $0.85x + $1.04y

The objective is to maximize this amount. Therefore, the linear program is: Maximize

z = $0.7x + $0.77x + $0.85x + $1.04y

Subject to:

x + y = 100000x, y >= 0

We can implement this linear program in Python using the PuLP package.

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which of the following statements best characterizes the author's' view of deception as an influence strategy?

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The author's view of deception as an influence strategy can be characterized as nuanced, considering both its potential effectiveness and its ethical implications.The author believes that deception can be an effective strategy for influencing others.

Deception involves deliberately misleading or manipulating others by presenting false information or distorting the truth. The author acknowledges that deception can sometimes achieve desired outcomes or gain advantages in certain situations. However, the author also recognizes the ethical concerns and potential negative consequences of deception as an influence strategy. Deception can erode trust, damage relationships, and have long-term repercussions.

The author suggests that the effectiveness of deception as an influence strategy depends on various factors, such as the context, the intentions behind the deception, and the awareness of the target audience.It is important to note that the author's view on deception as an influence strategy may vary depending on the specific context, the audience, and the purpose of the influence.The author's perspective may evolve or change when considering different scenarios or examining the potential consequences of deception.

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Understanding the marketplace, and especially consumer needs and wants, is fundamental to marketing _____.

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Understanding the marketplace, and especially consumer needs and wants is fundamental to marketing success.

It forms the foundation of effective marketing strategies and helps businesses tailor their products, services, and messages to meet customer expectations and create value.

Marketing involves identifying, anticipating, and satisfying customer needs profitably. To achieve this, businesses must have a deep understanding of the marketplace, which encompasses the environment in which they operate and the target customers they aim to serve.

Understanding consumer needs and wants is a vital aspect of market research and analysis. It involves gathering information about consumers' preferences, behaviors, motivations, and desires. This understanding allows marketers to develop products and services that align with customer needs, create meaningful value propositions, and differentiate themselves from competitors.

By comprehending the marketplace, businesses can identify target customer segments and evaluate market trends, competitive forces, and industry dynamics. They can uncover opportunities and address gaps or pain points in the market that can be addressed through innovative offerings or marketing strategies.

So, understanding the marketplace, including consumer needs and wants, is essential to marketing success. It enables businesses to identify and meet customer needs, develop competitive advantages, and create value for customers.

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the first sdlc model, replaced in many organizations but still used for very complex systems

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The Waterfall model was the first SDLC (Software Development Life Cycle) model that was introduced in 1970 by Winston Royce.

This model is a sequential and linear approach to software development, meaning that each phase must be completed before the next phase can start. This model has been replaced in many organizations by more iterative and flexible approaches, such as Agile and DevOps.

The Waterfall model is still used for very complex systems where there is a clear understanding of the requirements and the system architecture. This is because the Waterfall model requires a lot of planning and documentation, which can be beneficial for complex systems that need to be developed over a long period of time.  

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Consider an asset that costs $325,600 and is depreciated straight-line to zero over its 5-year tax life. The asset is to be used in a 3-year project; at the end of the project, the asset can be sold for $40,700. If the relevant tax rate is 22 percent, what is the aftertax cash flow from the sale of this asset? $57,378.86 $31,746.00 $60,398.80 $192,930.00 $63,418.74

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Given the following data: An asset that costs[tex]$325,600[/tex] and is depreciated straight-line to zero over its 5-year tax life. Asset is to be used in a 3-year project. At the end of the project, the asset can be sold for [tex]$40,700[/tex].

The relevant tax rate is [tex]22%[/tex]. We are supposed to calculate the after-tax cash flow from the sale of this asset. Solution: Firstly, we will calculate the annual depreciation charge and the book value of the asset for each of the three years.

Depreciation per year = (Cost of asset - Salvage value) / Number of years

[tex]= ($325,600 - $40,700) / 5[/tex]

[tex]= $57,380 per year[/tex]

The book value of the asset for the three years would be:

Year 1: [tex]$325,600 - $57,380[/tex]

[tex]= $268,220Year[/tex]

2: [tex]$268,220 - $57,380[/tex]

[tex]= $210,840Year[/tex]

3: [tex]$210,840 - $57,380[/tex]

[tex]= $153,460[/tex]

So the after-tax cash flow from the sale of the asset will be:

Step 1: Calculate the tax benefit due to the sale of the asset. The asset will be sold for [tex]$40,700[/tex] and has a book value of [tex]$153,460[/tex].The resulting loss will be

[tex]$153,460 - $40,700[/tex]

[tex]= $112,760Tax benefit[/tex]

[tex]= 0.22 × $112,760[/tex][tex]$268,220 - $57,380[/tex]

[tex]= $24,807.20[/tex]

Step 2: Calculate the cash inflow due to the sale of the asset.

Sales price of the asset

[tex]= $40,700[/tex]

After-tax salvage value of the asset

[tex]= $40,700 + $24,807.20[/tex]

[tex]= $65,507.20[/tex]

Therefore, the after-tax cash flow from the sale of this asset is [tex]$65,507.20.[/tex]

Answer: [tex]$65,507.20[/tex]

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Cavern Company's output for the current period results in a $6,100 unfavorable direct material price variance. The actual price per pound is $60.00 and the standard price per pound is $55.00. How many pounds of material are used in the current period? Multiple Choice 6,100 7,320. 1,220. 1,118. 7,218.

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The amount of material used in the current period of Cavern Company is 1,220 pounds. option 3: 1,220 is the correct answer.

The amount of material used in the current period of Cavern Company that results in an unfavorable direct material price variance can be calculated using the given information.

The formula to calculate the direct material price variance is DM price variance = (Actual Quantity x Actual Price) - (Actual Quantity x Standard Price)Where Actual Quantity = The actual amount of material used during the period.

Actual Price = The actual price per unit of material used during the period. Standard Price = The standard price per unit of material used during the period.

Given, Actual price per pound = $60 Standard price per pound = $55DM price variance = $6,100Substituting the values in the formula, we get: DM price variance = (Actual Quantity x Actual Price) - (Actual Quantity x Standard Price)$6,100 = Actual Quantity x ($60 - $55)$6,100 = Actual Quantity x $5Actual Quantity = $6,100/$5 Actual Quantity = 1,220 pounds

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What was the major concern of both the March leaders and government officials?
They were concerned about the potential for violence. Research the March on Washington for Jobs and Freedom using the following sources: the text of Dr. King's "I Have a Dream" speech, the image of the Lincoln Memorial program presented here, and outside sources.

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The answer to the given question is that both the March leaders and government officials were concerned about the potential for violence.

Both the March leaders and government officials were concerned about the potential for violence in the March on Washington for Jobs and Freedom. The concern of both parties was that the rally might turn violent and lead to widespread unrest or riots.

A group of civil rights leaders, including Martin Luther King Jr., A. Philip Randolph, John Lewis, Whitney Young, James Farmer, and Roy Wilkins, organized the March on Washington for Jobs and Freedom. The purpose of the March was to push for civil rights and jobs for African Americans in the United States.

Dr. Martin Luther King Jr. delivered his famous "I Have a Dream" speech during the march, which outlined his vision for a future where all Americans would be treated equally, regardless of their race or color.

In addition to speeches and performances, the program for the march included a list of demands, which included an end to segregation, equal access to employment and education, and the passage of a civil rights bill.

The concern of both the March leaders and government officials was that the rally might turn violent and lead to widespread unrest or riots. However, the march was peaceful and is remembered as a turning point in the civil rights movement.

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Which of the following employees would likely receive a salary instead of wages? A. Manual laborer. B. Sales manager. C. Store clerk. D. Factory employee.

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The sales manager would likely receive a salary instead of wages.

A sales manager, being a managerial position, is more likely to receive a salary rather than wages. Salary is a fixed amount of compensation paid to employees on a regular basis, typically on a monthly or annual basis, regardless of the number of hours worked. This is common for employees in professional, administrative, or managerial roles who are responsible for overseeing operations, managing teams, and making strategic decisions. On the other hand, manual laborers, store clerks, and factory employees are more commonly paid wages, which are based on an hourly rate or the number of hours worked.

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