What are the key elements to be included in the EL before execution?

Q: Determine the firm's 2021 tax liability.       Determine the firm's 2021 net income.…

A: Corporate tax is that tax which is charged on companies on their pre-tax earnings. Each nation has…

Q: You currently have $5,300. First United Bank will pay you an annual interest rate of 8.8, while…

A: As per the given information: Future value - $13,000 Present value - $5,300 Rate of interest - 8.8…

Q: The present value of an annuity due of t payments of $1 per period is the same as Multiple…

A: There are two types of annuities are there: 1. Ordinary annuity 2. Annuity due.…

Q: Determine the present value of the following single amounts. Note: Use tables, Excel, or a financial…

A: Cash flows can occur and can be received at different points of time. Due to the difference in the…

Q: You are evaluating a company's stock. The stock just paid a dividend of $1.75. Dividends are…

A: The Fair present value of stock is calculated by Gorden's Model. As per Gorden's Model the price of…

Q: You are saving for a house, and you would like to invest your money for the next year to reach your…

A: Risks associated with financial assets can be reduced by using the hedging method. The danger of any…

Q: ! Required information Lego Group in Bellund, Denmark, manufactures Lego toy construction blocks.…

A: Present value of annuity is the current value of the future payments that are calculated using the…

Q: 9. Amir also needs to calculate the commissions paid each month. If the company earns $275,000 or…

A: A financial modeling excel spreadsheet has been presented. We need to design the excel formula that…

Q: Suppose that you have to choose an optimal portfolio from a list of n stocks. Stock i has expected…

A: A portfolio that is created with the ideal ratio of risk to return is said to be optimum. The best…

Q: .) If $25,000 is deposited in an account that earns interest compounded monthly becomes $32,000…

A: (Note: We’ll answer the first question since the exact one wasn’t specified. Please submit a new…

Q: The Dockside Inn has net income for the most recent year of $8,450. The tax rate was 35 percent. The…

A: The Cash Coverage Ratio refers to the concept which shows the ability of the firm to pay its…

Q: You borrow a five-year $13,000 loan with monthly payments of $250. What is the annual percentage…

A: To Find: APR

Q: Suppose Josh’s current salary is $72, 000 per year, and she is planning to retire 25 years from now.…

A: The FV of a payment series determines the value that the asset has at the time of maturity…

Q: The present value of a deferred annuity of P4,800 every six months for 7 years, with the first…

A: Semi annual payment (P) = P4800 Period = 7 years Number of semi annual payments (n) = 7*2 = 14…

Q: Please explain why this statement is (False).  Ignoring default risk, if a bond's expected return…

A: The expected return is the return from an investment that the market expects based on the bond's…

Q: Consider the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) 0…

A: Required return is 13% To Find: Payback period  NPV

Q: You are told you will receive a cash flow stream that gives you $2,150 at time 1, $2,750 at time 3,…

A: Present value of cash flow= (CF1/(1+r)^1) + (CF2/(1+r)^2) + (CF3/(1+r)^3) + (CF4/(1+r)^4) Where,…

Q: If Epic, Inc. has an ROE = 29%, equity multiplier = 3.6, a profit margin of 12.4%, what is the total…

A: Information Provided: ROE = 29% Equity multiplier = 3.6 Profit margin = 12.4%

Q: Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Company A 30% 7% 18% -22% -14% 10% 26% -10%…

A: We have to design two portfolios and then find their average return, standard deviation of return…

Q: What is the incremental cash flow for a company that forgoes $7000 p.a. rental for factory space for…

A: Incremental cash flow is the cash flow that a company is able to realize after it accepts a new…

Q: reservation point?

A: Reservation point is the minimum point which the party will accept a agreement. It is always denoted…

Q: Treasury securities that mature in 6 years currently have an interest rate of 8.5%. Inflation is…

A: Determinants of interest rate of Treasury securities are real risk free rate, inflation premium and…

Q: uppose the world price of notebooks is $4.00. Suppose the pre-trade price of notebooks in France is…

A: Now days business is international levels and companies take advantage of the export and import to…

Q: Ms. Nelson will receive $12,000 a year for the next 20 years from her retirement fund. If a 6…

A: Annual payment = $12,000 Period (N) = 20 Years Interest rate = 6% Current value of present value = ?…

Q: Explain any four ways that render a contract voidable

A: Voidable contract: A formal agreement between two parties which may not be enforceable due to…

Q: All of the securities below have annual payments. [Do not round interim calcul Market Coupon Rate…

A: We need to find the YTM for a BB rated bond with three years maturity. We will first need the YTM of…

Q: You are evaluating a project for a superior pickleball paddle. The company has spent $65,000 on…

A: Capital budgeting techniques such such determining Net Present Value (NPV), Internal Rate of Return…

Q: If you deposit $150 in an account with an APR of 6% and continuous compounding, the balance after 2…

A: Information Provided: Principal = $150 APR = 6% Time = 2 years

Q: Nemo Haulers is considering whether to purchase a new mini tractor for moving furniture within its…

A: With existing mini tractor the annual cash flow is $3100. With new mini tractor: Initial cost =…

Q: he president of United Semiconductor Corporation made this statement in thecompany’s annual…

A: The president of United Semiconductor Corporation's statement in the company’s annual report that…

Q: Prepare an amortization schedule for a three-year loan of $87,000. The interest rate is 10 percent…

A: Loans are equal and fixed amount of periodic payments and these payments carry the payment for…

Q: Payments of P 10,000 per quarter are made from June 7 through Z through December 7, Z + 11…

A: The current value of a future sum of money or stream of cash flows at a predetermined rate of return…

Q: Jerry has an opportunity to buy a bond with a face value of $10,000 and a coupon rate of 14…

A: The IRR is used to evaluate the profitability of a potential investment in terms of the returns from…

Q: An investor has the opportunity to buy a long-term sub-lease contract that calls for 20 semi-annual…

A: Annuity due are the types of annuity where the payments are made at the beginning of the payment…

Q: Describe how each of the following helps a bank control its credit risk: 1. Position limits 2.…

A: Credit risk refers to the possibility of uncertainty or loss from the borrower for not repaying…

Q: The price you pay for a bond with a face value of $5000 sell-ing at 103 points is O a. $5,300 O b.…

A: Bond price is the market price of a bond. It is computed by discounting the future cash flows…

Q: You wish to retire in 30 years, so you begin a 401K program that pays $100 into your account weekly…

A: Data given: N=30 years Weekly payment= $100 Interest rate= 6.35% (Compounded weekly)   Working…

Q: firm has EBIT of​ $4.5 million, interest expense of $400,000​, and pays taxes of​ $1.2 million. If…

A: EPS is earning per share that is available after doing all payments and that is available for each…

Q: If Sarah wants to earn interest of $3,694.20 on his $20,000.00 savings in 2 years, at what nominal…

A: Given, Investment made is $20000 Interest is $3694.20 Term of investment is 2 years

Q: As a financial consultant, you are given the following information about two companies, one levered…

A: Concept. 1.Value of firm = net income ÷ cost of capital(WACC) 2. Value of firm  = value of debt +…

Q: Critically evaluate how hearding  influences investment decision-making.

A: Herding behaviour will be reflective of behavioural bias in which the market participants are…

Q: Use the following Company A Balance Sheet for the next questions 8 and 9 ASSETS Cash Accounts…

A: The Common size entry is determined by computing the value of the asset to the Total asset value and…

Q: e at the The net revenue at the end of year 2 is $4,000. The net revenue at the end of year 3 is…

A: Annual level revenue is that revenue which is equivalent to total revenue considering the time and…

Q: invest in each stock to maxime you You should invest s into Marky Inc. $ into JohnJohn Ltd, and s…

A: Information Provided: Total investment = $93,000 Investment in Garretts Spaghetti = $19,000 MarkyB…

Q: Wanda, one of your clients, is a state sheriff’s deputy. Wanda was injured while on duty. Under her…

A: First let us determine which item is taxable under Revenue Ruling 83-77. Under this ruling, sick pay…

Q: Cash flow is happening as below with interest rate as 5%: Time 0 1 2 3 4 5 6 7 8 9 Cash flow…

A: There is a stream of cash flows given which has a mix of gradient cash flows and constantly…

Q: What are the advantages or disadvantages of Fama-French 5-factors in comparison with Fama-Frech…

A: The Fama French 3-factor model is an asset pricing model that adds size risk and value risk…

Q: You are financing a car worth $66050.54 with tax included. Interest rates are 12.7% compounded…

A: Given: Particulars Amount Car worth 66050.54 Interest rate 12.70% Years 3 Down payment…

Q: Assess the potential conflict of needs and objectives among Tesco's stakeholders and the possible…

A: An "person or group that has an interest in any decision or action of an organization" is referred…