Answer:
Value of Investment= Principal (1+Rate of return)^Number of periods
For the first investment the principal is 7,500, the rate of return is 11.5% and the number of periods are 5 so the value of the investment will be
7,500 (1+0.115)^5=12,925
For the second investment the principal is 5,000, the rate of return is 11.5 and the number of periods are 3 as the 5,000 is invested two years from today.
5,000*(1+0.115)^3=6,931
Total value of investments = 12,925 +6,931 = $19,856
Answer: Endowments
Explanation:
The institutional investors that most likely must spend a target percentage of the portfolio annually is the endowments.
Endowment fund refers to the long term fund that is used for perpetual operations and usually set up by colleges or in hospitals
The fund then covers the expenses relating to provision of services for the students. A portion of the endowment is allowed to be use for every fiscal year.
Answer:
Explanation:
1) Interest expense = 5000000 × 10% = 500000
Times interest earned = Income before interest and tax / Interest expense = (1500000+500000) / 500000 = 4 Times
2) Earning per share of Common Stock = (Income after tax-Income tax-preferred dividend) / Share outstanding = (1500000-200000-100000 ) / 200000 = 6 per share
3) Price earning ratio = 75 / 6 = 12.50 times
4) Dividend per share of Common Stock = 150000 / 200000 = 0.75 per share
5) Dividend yield = 0.75 / 75 = 1%
Answer:
The answer to the question would be C
Explanation:
Without a doubt, the economic crisis has changed the way consumers approach the market for goods and services. In this new era, austerity, discounts and the search in different channels of the best price / benefit ratio dominate.
Of course, technology and the Internet are the best allies of the consumer who wants to be informed: thanks to smartphones, bar scanners, social networks or websites that compare prices or offer discounts, we are the buyers with more prior information on what we want or need to acquire.
Answer:
To record the initial purchase, the entries required in Joy's Accessories are:
Debit Purchases Account with 69x$11 - $759
Credit Supplier's Account (Accounts Payable) - $759
Explanation:
The initial purchase is recorded as it was made without taking into account activities that happened after.
Once value had been received, it is recognized immediately. When 9 necklaces are returned before payment, then the entries above would be reduced by 9 x $11 or $99 through Purchases Return Account.
If payment is made within 10 days, Joy's Accessories will be able to take advantage of the 3% cash discount offered by the supplier and then pays the net value. And subsequently, this will be recognized in the books.
