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Financial Markets

Can you please assist me with the following questions? Thank you, 9.) Dan plans to fund his individual retirement account (IRA) with the maximum contribution of $2,000 at the end of each year for the next 10 years. If Dan can earn 10 percent on his contributions, how much will he have at the end of the tenth year? A) $


Please see the attachment. 9. What is the balance in Gale's investment in subsidiary account at the end of 2009? A. $1,099,000 B, $1,020,000 ('.$1,096,200 I). $1,098,000 1 . $1,144,400 10. At the end of 2009, the consolidation entry to eliminate Gale's accrual of Kaltop's earnings would include a credit to Investment in K

Agency Issues

Case: Assessing the Goal of Sports Products, Inc. Loren Seguara and Dale Johnson both work for Sports Products, Inc., a major producer of boating equipment and accessories. Loren works as a clerical assistant in the Accounting Department, and Dale works as a packager in the Shipping Department. During their lunch break one d

Break Even Evaluating Profitability

1) Huntsville supplies is evaluating the profitability of leasing a photocopier for its customers to use on a self-serve basis at 10 cents per copy. The copier may be leased for $300 per month plus 1.5 cents per copy on a full-service contract. Huntsville can purchase paper at $5 per 500 sheet ream. Toner costs $100 per bottle,

Money Managers Differ Greatly

1. Kauai Surf Boards seeking raise capital a large group investors expand operations. suppose investors S&P 500 portfolio, a volatility 15% expected return 10%. The investment expected a volatility 30% a 15% correlation S&P 500. If risk-free interest 4%, coast capital Kauai Surf Boards' expansion? 2. Money Managers differ gre

Computing Breakeven Point

Please help with the following problem. Provide step by step calculations. Barnes Corporation manufactures skateboards and is in the process of preparing next year's budget. The pro formula income statement for the current year is presented below: Sales $1,500,000 Cost of sales: Di

Clarey, Inc: Prepare financial schedule

Can you help me get started with this assignment? Transactions during 2007 for Clarey Inc were as follows: 2. On April 1, 2007, Clarey sold a parcel of land to Hermes Co for $400,000 under an installment note contract. Hermes made a $100,000 down payment on April 1, 2007 and signed a 5 year 12% note for the $300,000 bala


1. The college of Business at tech is planning to begin an online MBA program. The initial start-up cost for computing equipment, facilities, course development is $350,000. The college plans to charge tuition f $18,000 per student per year. However, the university administration will charge the college $12,000 per student for t

Finance: Dividend Yield and the Equity Cost of Capital

Can you help me get started on these questions. I am having trouble understanding the concepts. Questions: 1. Krell industries has a share price of $22.00 today. If Krell is expected to pay a dividend of $0.88 this year, and its stock price is expected to grow to $23.54 at the end of the year, what is Krell's dividend yi

Conversion Price for Chocolate Factory's Convertible Debentures

Chocolate Factory's convertible debentures were issued at their $1,000 par value in 2007. At any time prior to maturity on February 1, 2027, a debenture holder can exchange a bond for 25 shares of common stock. What is the conversion price, Pc? a. $40.00 b. $42.00 c. $44.10 d. $46.31 e. $48.62 Show all work

Small business funding: Are junk bonds a viable source for expansion

John and I have been discussing my belief that junk bonds should not be allowed. John asked me to look at it from the issuer's point and I did. Let's say you and I started a small company several years ago and through our hard work, we have been very successful. We have paid our bills, made a good profit, but are still a me

Total Cost for Pension Funding

Pension Fund project which will be offered in 5 years, company purchases zero coupon U.S. Treasury Trust Certificates which mature in 5 years, when originally issued they were 12% coupons, 30 year U.S.Treasury bonds, the stripped Treasuries are currently priced to yield 10%, total maturity value is $6000000. What is the total c

Common stock and preferred stock

What are some similarities and differences between common stock and preferred stock? As a shareholder, would you want preferred or common stock? Why? As a corporation, would you rather issue preferred or common stock? Why?

Accounting 423 Study Guide questions 1, 2, 3, 37, 38, 41, 42, 43, 44, 48, 50

1. Which of the following best describes a possible result of treasury stock transactions by a corporation? a. May increase but not decrease retained earnings. b. May increase net income if the cost method is used. c. May decrease but not increase retained earnings. d. May decrease but not increase net income. 2. Which of

Financial Outcome from Management's Message to shareholders for SEC company

Using the most recent annual report and other financial statements submitted to the SEC, select a financial initiative from the "management's message" to the shareholders. Compare and contrast three potential financial outcomes that your Learning Team envisions for the proposed initiative(s). Evaluate your findings to determine

Declining Growth Stock valuation- Brushy Mountain Mining Company

Brushy Mountain Mining Company's ore reserves are being depleted, so its sales are falling. Also, its pit is getting deeper each year, so its costs are rising. As a result, the company's earnings and dividends are declining at the constant rate of 4% per year. If D0 = $5 and rs = 15%, what is the value of Brushy mountain's stock

Constant Growth Valuation- Crisp's Cookware

You are considering an investment in the common stock of Crisp's Cookware. The stock is expected to pay a dividend of $2 a share at the end of the year (D1=$2.00).The stock has a beta equal to 0.9. The risk-free rate is 5.6%, and the market risk premium is 6%. The stock's dividend is expected to grow at some constant rate g. The

Corporate Finance

1.The Millennium Charitable Foundation, which is tax-exempt, issued debt last year at 8 percent to help finance a new playground facility in Chicago. This year the cost of debt is 15 percent higher; that is, firms that paid 10 percent for debt last year would be paying 11.5 percent this year. A. If the Millennium Charitable Fou


3. Which of the following does NOT always increase a company's market value? a. Increasing the expected growth rate of sales. b. Increasing the expected operating profitability (NOPAT/Sales). c. Decreasing the capital requirements (Capital/Sales). d. Decreasing the weighted average cost of capital. e. Increasing


31. Your uncle Fred just purchased a new boat. He brags to you about the low 7% interest rate (APR, monthly compounding) he obtained from the dealer. The rate is even lower than the rate he could have obtained on his home equity loan (8% APR, monthly compounding). If his tax rate is 25% and the interest on the home equity

Successful Industrial Policy

It may be argued that Japan's explicit promotion of its microchip industry was an excellent example of successful industrial policy. What criteria would you apply to determine whether such a policy is or is not successful? Judging from your own stated criteria, was Japan's exercise successful? Why or why not? Please explain

Finance: three investment choices; monthly payment for Oppenheimer Bank mortgage

4. You have found three investment choices for a one year deposit: 10% APR compound monthly, 10% APR compounded annually, and 9% APR compounded daily. Compute the EAR for each investment choice. (Assume there are 365 days in the year). 10. Oppenheimer Bank is offering a 30-year mortgage with an EAR of 5 3/8%,. If you p

Thomson One Stock Analysis: does stock beta predict change in stock price

Using the Thomson One site or www.yahoofinance.com site, choose three dividend-paying firms in three different industries. Determine the beta for each of these firms. Discuss the differences you observe. Next, find each stock's percentage stock price change for the past year. Also, find the percentage change in the S&P 500 i

Compare and contrast current and non-current assets

Compare and contrast current and non-current assets and address the following: - what are current assets? - what are non-current assets? - what differs between current and non-current assets? - what is the order of liquidity? - how does the order of liquidity apply to the balance sheet?