Answer:
B) conversion of debentures.
Explanation:
Debentures are a form of bond, specifically unsecured bonds. In some instances, certain debentures can be converted into shares, causing immediate dilution of earnings per share. Diluted earnings per share reflects what earnings per share would look like if all convertible stock options, bonds, etc., were transformed into common stocks.
Answer:
d. 15.09
Explanation:
425,000 sales
52,500 AR
within a year consisting of 365 days
Days Sales Outstanding
Average days late
45.09 - 30 = 15.09
on average, customers clear their payments within 45 days.
This means they are paying, on average, 15.09 days later than the given credit terms.
To receive monthly income, adjust the interest rate and duration variables for the investment to a monthly timeframe;
From the total of $12,000, calculate Jenny's personal savings after removing social security payments and her pension benefits;
= 12,000 - 3,000 - 4,000 = $5,000.
This recurring 5,000 will be the PMT for the annuity calculation.
If the marginal tax rate is 28%, determine the nominal rate after tax;
Pre-tax nominal rate = 7.9% or 0.079.
The after-tax nominal rate = (1-0.28) * 0.079 = 0.05688 or 5.688%.
Next, find the real interest rate using the Fisher equation applicable to the nominal and inflation rates:
Real rate = [(1+Nominal) / (1+inflation)] -1 = [(1+0.05688) / (1+0.026)] -1 = 1.0301 -1 = 0.0301.
Thus, the real rate is 3.01%.
Now, using a financial calculator, input the following:
N = 95 - 70 = 25 years, converted to months = 25*12 = 300.
I/Y = 3.01% /12 = 0.2508%.
PMT = 5,000,
FV = 75,000*6 = 450,000.
Then calculate PV = $1,265,460.78.
Therefore, she should aim to save $1,265,460.78.
The accurate answer is $33,000. The details of the scenario allow us to compute the provided information as follows: If the company purchases the CDs from external sources, only the Fixed Overhead can be avoided while all others remain unchanged. Therefore, the external price can be derived using this formula: Maximum external price = Direct Materials + Direct Labor + Variable Overhead + Fixed Overhead. Plugging in the figures, we find Maximum external price = $11,000 + $15,000 + $3,000 + $4,000 = $33,000.
Answer: $25,000 after 12 years = 25,000*(1.09)^12= $70,316
The value of $7,500 deposits after 6 years
Input these values using a financial calculator
N=6
PV=0
PMT=7,500
I=9
Then calculate FV= $56,425, subsequently
PV= $56,425
PMT= $15,000
I=9
N=6
Compute FV=$ 207,480
We will accumulate (207,480 + 70,316) = $277,796 after 12 years to launch our business.
Explanation:
