QUESTION Your client is 20 years old, and she wants to begin saving for retirement, with the first payment to come one year from now. She can save $11,000 per year, and you advise her to invest it in the stock market, which you expect to provide an average return of 11% in the future.If […]
Date: September 2nd, 2020
QUESTION What is the weighted average cost of debt for Dell using the market value weights? Note you can get the market prices for all debts in the same webpage above, and can adjust the book value of each debt by its market price, for example if the book value of one debt is $1000, […]
Date: September 2nd, 2020
QUESTION Mass customization and rapid product development were identified as current trends in modern manufacturing operations. What is the relationship, if any, between these trends? Please cite two examples. Solution: Mass customization is the tractability or flexibility to produce products in order to meet customer demands according to requirement and without sacrificing the low cost […]
Date: September 2nd, 2020
QUESTION The British government has a consol bond outstanding that pays 100 in interest each year. Assuming that the current interest rate in Great Britain is 5% and that you will receive your first interest payment one year from now, then the value of the consol bond is closest to:11)______A)2 According to the given information,Current […]
Date: September 2nd, 2020
QUESTION 28) A managers ability to stimulate people to be high performers is referred to as:A. SupervisingB. OrganizingC. LeadingD. ControllingE. Planning29) ABC International carefully watches the actions of its most innovative competitor and learns from them. ABC can establish a low-cost position by:A. Te 28) A managers ability to stimulate people to be high performers […]
Date: September 2nd, 2020
QUESTION The following table summarizes prices of various default-free zero-coupon bonds (expressed as a percentage of face value):Maturity (years) 1 2 3 4 5Price (per $100 face value) 94.52 89.68 85.40 81.65 78.3521)The yield to maturity for the two year zero-coupon bond is closest to:21)______A)5.6%B)6.0%C 21) According to the given information,Face value of the bond […]
Date: September 2nd, 2020
QUESTION Revenue and cost per passenger mile are two key performance metrics for the airline industry. Do a small research online and summarize in 150 words the importance of the measures and their values for some of airlines. Revenue measures how much an airline takes in. This is perhaps the single most critical performance metric, […]
Date: September 2nd, 2020
QUESTION The process of renewing a drivers license at the Archer County Courthouse has the follow steps: 1) a clerk fills out an application form, 2) the clerk takes a picture of the driver, 3) a typist types and processes the new license. It takes an average of five minutes to fill out an application […]
Date: September 2nd, 2020
QUESTION Total Assets $800,000Current Liabilities $150,000Long-term Liabilities $120,000Preffered Stock Obligation $65,000# of common stock outstanding 30,000Earnings available to common $48,000P/E Ratio 20My answer to the solutionTotal Assets $800,000Current Liabilities $150,000Long-term Liabilities $120,00 Book value per share is (Assets minus liabilities- preferred)/common shares outstanding). 800,000-150,000-120,000-65,000= 465,000/30,000= $15.50 per share. Earnings available to common /common outstanding = […]
Date: September 2nd, 2020
QUESTION The yield to maturity on a bond is the rate of return that equates the presentvalue of the bonds future cash ?ows with the bondsa. book value.b. liquidation value.c. face value.d. market value. Answer D) Market Value The yield to maturity on a bond is the rate of return that equates the present value […]
Date: September 2nd, 2020
