Answer: $65,075.85
Explanation:
Given that the cash flow should be constant, it will be an annuity.
The initial investment will be the present value of this annuity.
Present value of annuity = Annuity * ( 1 - (1 + rate)^-number of periods) / rate
460,100 = Annuity * ( 1 - (1 + 8.2%) ⁻¹¹) / 8.2%
460,100 = Annuity * 7.070211525
Annuity = 460,100 / 7.070211525
= $65,075.85
Answer:
(a) An employee’s monthly credit card payments are nearly 75% of her monthly earnings. select a fraud triangle factor. Financial pressure.
(b) An employee earns minimum wage at a firm that has reported record earnings for each of the last five years. select a fraud triangle factor. Rationalization.
(c) An employee has an expensive gambling habit. select a fraud triangle factor. Financial pressure.
(d) An employee has check-writing and -signing responsibilities for a small company, and is also responsible for reconci. Opportunity.
Explanation:
Fraud refers to obtaining something of value with a false representation of facts.
The fraud triangle factors are:
Opportunity: A situation that allows fraud to happen, for example, there are no internal controls in a company.
Financial pressure: There is a need that takes a person to commit fraud, for example, a debt.
Rationalization: The person that commits the fraud justifies it in his mind, for example, the person needs the money more than the big organization.
Answer:
25%
Explanation:
the margin of safety is the percent of sales which the company is above the break even point.
We solve for the break even point:
BEP = 150,000
We solve for the margin of safety:
$ 200,000 - $ 150,000 = $ 50,000
Now we compare against our sales:
$ 50,000 / $ 200,000 = 0.25
Answer:
Total= $107,130.79
Explanation:
Giving the following information:
McClary Tires plans to save $20,000, $25,000, $27,500, and $30,000 at the end of each year for Years 1 to 4, respectively.
The discount rate is 3.3%.
To calculate the future value, we need to use the following formula for each cash flow:
FV= PV*(1+i)^n
Cf1= 20,000*1.033^3= 22,046.06
Cf2= 25,000*1.033^2= 26,677.23
Cf3= 27,500*1.033= 28,407.5
Cf4= 30,000
Total= $107,130.79
