Your company wants to set aside a fixed amount every year to a sinking fund to replace a piece of industrial equipment costing $

Answer:

The primary role of Exotic Craft's marketing division is to guarantee that the company's products are delivered to content customers.

Explanation:

The marketing division holds a crucial dual responsibility; it must ensure customer satisfaction and simultaneously work towards increasing overall sales and market share. The marketing department acts as the public face of the company and strives to represent it in the most favorable light.

After the dividend, the company's:

a. book value per share will become $6.31.

b. price-earnings ratio will adjust to 13.88.

c. shareholder value per share will amount to $18.60.

d. stock price will be $19.00.

e. earnings per share will equal $.94.

The result is: b

To determine the ex-dividend price per share on the day the dividend is distributed, we follow this method:

Ex-dividend Price = Share price before dividend - dividend amount per share

Ex-dividend price = $18.6 ($19 - $0.40)

Using this ex-dividend price, we can calculate the P/E ratio after the dividend.

P/E = $18.6/$1.34 = 13.88059

Answer:

d. $1,376.74

Explanation:

The NPV for Project X is calculated as follows:

Year Cash outflow/inflow Present value factor      Present value

0              -$10,000.00                         1                   -$10,000.00

1                 $6,000.00                   0.900901              $5,405.41

2                 $8,500.00                     0.811622              $6,898.79

NPV                                                                        $2,304.20

For Project Y, the NPV is:

Year Cash outflow/inflow Present value factor      Present value

0                -$10,000.00                       1                   -$10,000.00

1                   $4,600.00              0.900901             $4,144.14

2                   $4,600.00                  0.811622             $3,733.46

3                    $4,600.00                   0.731191                   $3,363.48

4                    $4,600.00                  0.658731             $3,030.16

Total                                                                        $4,271.25

The formula for calculating Equivalent Annual Annuity is expressed as:

C = r*(NPV)/(1-(1+r)-n)

For Project X, where NPV = $2304.20

using r = 11% and n = 2

Plugging in values into the formula gives us:

C = 11%*$2304.20/(1-(1+11%)−2

For Project Y, where NPV = $4271.25

using r = 11% and n = 4

Inserting the values into the formula, we find C = 11%*$4271.25/(1-(1+11%)−4

   = $1376.74

Thus, the more profitable project is Y, with an equivalent annual annuity of $1376.74.

Response:

It is estimated that between 1100 and 1300 high school students in Detroit could obtain a gun if they desired to do so.

Rationale:

For the lower boundary, take 55% of 2000, which equals 0.55 × 2000 = 1100.

For the higher boundary, take 65% of 2000, equaling 0.65 × 2000 = 1300.

Therefore, the calculated range of students in Detroit who could obtain a firearm is from 1100 to 1300.

Response:

A.

Dec. 28, 20Y3

Dr Accounts Receivable - Beasley Co. 18,500

Cr Sales Revenue 18,500

Dec. 28, 20Y3

Dr Cost of Goods Sold 11,200

Cr Inventory 11,200

B.

Jan. 3, 20Y4

Dr Sales Returns and Allowances 4,000

Cr Accounts Receivable - Beasley Co. 4,000

Jan. 3, 20Y4

Dr Inventory 2,350

Cr Cost of Goods Sold 2,350

C. Jan. 7, 20Y4

Dr Cash 14,210

Dr Sales Discount 290

Cr Accounts Receivable - Beasley Co. 14,500

Explanation:

A. Recording the entry for the sale on December 28, 20Y3, using a perpetual inventory system’s net method.

Dec. 28, 20Y3

Dr Accounts Receivable - Beasley Co. 18,500

Cr Sales Revenue 18,500

Dec. 28, 20Y3

Dr Cost of Goods Sold 11,200

Cr Inventory 11,200

B. Journals to record the returns of merchandise

Jan. 3, 20Y4

Dr Sales Returns and Allowances 4,000

Cr Accounts Receivable - Beasley Co. 4,000

Jan. 3, 20Y4

Dr Inventory 2,350

Cr Cost of Goods Sold 2,350

C. Journal entry to document the receipt of amount owed

Jan. 7, 20Y4

Dr Cash 14,210

[(18,500-4,000)-(18,500-4,000)*2% ]

Dr Sales Discount 290

[(18,500-4,000)*2% ]

Cr Accounts Receivable - Beasley Co. 14,500

(18,500-4,000)