Answer:
a) 900 dollar as all is M0
b) 900 as the deposit have no multiplier effect
c) 900 as there is no multiplier effect
d) 7,200 taking into consideration the multipler effect from the bank deposit.
e) 4,050 considering the deposit multiplier effect
Explanation:
a; b ; c ) as there is no multiplier effect the quantity of money matches the nominal currency.
d)
M0 (currency and coins) 0
M1 900 / 0.125 = 7,200
e)
currency : 900 / 2 = 450 M0
deposit :
450 / 0.125 = 3,600 M1
Total 4,050
Solution:
Price per share
= Total Borrowing /No of shares repurchase
= 251,000 /21,500 = $ 11.67
Total Equity = (Shares outstanding-Shares repurchased) * Price per share
= (152,500 -21,500 )*11.67
= $1,274,095
Debt = $ 251,000
Value of the firm = Equity+Debt
= 1,274,095 + 251,000
= 1,525,095
Value of the firm = $1,525,095
1,200,000 is the answer i think, depends 2 what it rounds 2
Answer:
812.40 units
Explanation:
Given that,
Annual holding cost percentage = 20%
Ordering cost = $110 per order
Annual demand = 15,000 units
Units Ordered - Price Per Unit
1-250 - $30.00
251-500 - $28.00
501-750 - $26.00
751 and up - $25.00
Optimal order quantity:
= 
= 
= 
= 812.40
Therefore, the optimal order quantity is 812.40 units.
The rate after its first adjustment is 5%. The ARM adjustment would be controlled by the periodic cap, because the "true rate" or "fully-indexed rate" is
6.00% (1%+5%). Because the periodic cap
prevents the start rate from moving any more than 2%
at any given adjustment, the first move can only go as
high as 5.00%.
