An individual who wishes to invest more than $5,000 per year by participating in crowdfunding a company must Multiple Choice be an SEC registered investor and have annual income of $250,000 or more. have at least 10 years of investment experience and a net worth of $500,000 or more. have a net worth of at least $1 million and net income of $200,000 or more in two of the last three years. have a net worth of at least $500,000, annual net income of
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- An investor purchases 300 shares of a stock at a price of $75 per share. During the year, the investor receives dividends of $2.34 per share and then sells all the shares at the end of the year at a price of $79.60 per share. Calculate the investor's: a. Income b. Capital gain c. Total dollar returnAn engineer invests $50,000 in bonds paying dividends of $1,000 per year for 10 years. At 10 years, the engineer sells the bonds for $70,000. Calculate the rate of return on investment using net future worth analysis.What are the After-tax annualized returns from the following two funds if you invest $1000 in each of them? Assume: You invest for 4 years (hold investments till end of 4th year) and sell your shares at the beginning of 5th year. Tax rate is 25%. Fund B: Distributes 5% Distributed Income return per period. Provides 5% Capital Gain Return Per Period.
- Which of the following is true about an equity offering under Regulation D? All participants must be accredited investors Up to 35 investors may be unaccredited investors An accredited investor must have net worth of $5,000,000 A couple earning $150,000 per year is an accredited investorAfter reading this chapter, it isn't surprising that you're becoming an investment wizard. With your newfound expertise, you purchase 100 shares of KSU Corporation for $29.52 per share. Assume the price goes up to $36.77 per share over the next 12 months and you receive a qualified dividend of $0.69 per share. What would be your total return on your KSU Corporation investment? Assuming you continue to hold the stock, calculate your after-tax return. How is your realized after-tax return different if you sell the stock? In both cases assume you are in the 25 percent federal marginal tax bracket and 15 percent long-term capital gains and qualified dividends tax bracket and there is no state income tax on investment income. Your total rate of return on your KSU Corporation investment is % (Round to two decimal places.) Assuming you continue to hold the stock, your after-tax rate of return is%. (Round to two decimal places) Your realized after-tax rate of return if you sell the stock is%.…After completing your Bachelor of Business (Accounting) degree, suppose you secure a permanent position as an accountant. You drafted a financial plan to retire in 35 years from now andthinking about creating a fund that will allow you to receive $25,000 at the end of each year for 30years after your retirement. The interest rates areexpected to be 2.45% per annum during the 35- year pre-retirement period and 3.15% during retirement. Required: a) To provide the 30-year, $ 25,000-a-year annuity, calculate how much should be in the fund account when you retire in 35 years. b) How much will you need today as a single amount to provide the fund calculated in part (a) if you earn 2.75% per year during the 35-yearpre-retirement period? c) (Using different…
- After reading this chapter, it isn't surprising that you're becoming an investment wizard. With your newfound expertise, you purchase 100 shares of KSU Corporation for $26.71 per share. Assume the price goes up to $32.29 per share over the next 12 months and you receive a qualified dividend of $0.46 per share. What would be your total return on your KSU Corporation investment? Assuming you continue to hold the stock, calculate your after-tax return. How is your realized after-tax return different if you sell the stock? In both cases assume you are in the 25 percent federal marginal tax bracket and 15 percent long-term capital gains and qualified dividends tax bracket and there is no state income tax on investment income. ... Your total rate of return on your KSU Corporation investment is 22.61 %. (Round to two decimal places) Assuming you continue to hold the stock, your after-tax rate of return is %. (Round to two decimal places.)You are considering acquiring a common share of Sahali Shopping Center Corporation that you would like to hold for 1 year. You expect to receive both $1.25 in dividends and $35 from the sale of the share at the end of the year. The maximum price you would pay for a share today is __________ if you wanted to earn a 13% return. Multiple Choice $30.97 $32.08 $31.54 $41.67A recent college graduate with 42 years to retirement can accumulate a large sum of money via disciplined, regular investments. If he/she invests $190 each month until retirement and earns an APR of 7.9% on his/her investments, the accumulated sum for retirement will be: O$757,628 $756,542 $759,226 $674,549 4
- You purchased 50 shares of Z stock in January 2022 for $40 per share. Each year you received a cash dividend of $0.75 per share. In December of 2026, you sold 50 shares of Z for $60 per share. Brokerage fees amounted to 3.0% of the purchase price and 3.0% of the sales proceeds. part 1. Dividends and long term capital gains for the 28% marginal tax bracket will be subject to a 15% tax rate. What is your after tax average annual return? part 2. If inflation averaged 4% per year over the investment period, the average annual after-tax real rate of return would be? 8.10% and 2.59% 8.10% and 3.44% 7.58% and 2.59% 7.58% and 3.44%You have the ability to invest $100,000 and have a choice between the following investments that return $150,000 over the next 5 years: Year A B C D 1 $10,000 $30,000 $50,000 2 $20,000 $30,000 $40,000 3 $30,000 $30,000 $30,000 4 $40,000 $30,000 $20,000 5 $50,000 $30,000 $10,000 $150,000 Required: a. Based on cash flows given, with no other analysis, which investments would be a good investment? Which would be a bad investment? b. Based on cash flows given, and no other analysis, rank the investments based on preference/ desirability. Rank 1st, 2nd, 3rd, 4th. If ties, please explain why! c. If you analyzed the cash flows, what would you do? Briefly explain NOTE: Each of the above requires a short narrative answer.Last year at this time, Rohan purchased 2,000 shares at $45/share in Boom Inc. In 2021, he received $4.50/share in dividends on these shares. Rohan needed the money to pay for his tuition and sold them at $52/share in December 2021. What was Rohan's investment return during the one year that he held the shares? A 21.12% B 24.98% C 25.56% 22.12% 23.73%