an investor in the United States bought a one year security valued at 98,000 british pounds. The US dollar equivalent was $196,000. the british security earned 17% during the year, but the british pound depreciated six cents against the US dollar during the period (.51 to .45). After...
whats the answer if 98000 depreciated six cents against 196000
Deadline 1:30 pm
1. Given the following data, calculate the David Brown's family Adjusted Gross Income (AGI). What are their total itemized deductions? How many personal exemptions do they receive and how much does that save them in taxes if each exemption is worth $3,650 and they are in the 15 percent...
The last day class is today. I have up until 5 am eastern time to submit
I have to submit this before 5 am eastern time. It is the last day of class
It is very often observed that retail investors enter the market when index is very high and exit when index is very low (comparatively speaking). Describe qualities of a savvy investor. Also throw light upon mistakes committed while managing investments. Q.2 E
Solve the following problem showing the all the necessary steps and computations 1) Using the data in the following table, estimate (a) the average return and volatility for each stock, (b) the covariance between the stock, and (c) the correlation between these two assets. year 2004...
six years ago, the singleton company sold a 20 years bond issue with a 14 percent annual coupon rate and a 9 percent call premium. today, singleton called the bonds. the bonds originally weresold at their face value of $1000. compute the realized rate of return for investors who purchased the...
A consultant has collected the following information regarding Smith Manufacturing: The company has no growth opportunities (g = 0), so the company pays out all of its earnings as dividends (EPS = DPS). Smith's stock price can be calculated by simply dividing earnings per share by the...
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1. Can you help me with this valuation problem?: Imagine that you are trying to evaluate the economics of purchasing an automobile. You expect the car to provide annual after-tax cash benefits of $1,200 at the end of each year and assume that you can sell the car for after-tax proceeds of $5,000 at the end of the planned 5-year ownership period. All funds for purchasing the car will be drawn from your savings, which are currently earning 6% after taxes.
- a.Identify the cash flows, their timing, and the required return applicable to valuing the car.
- b.What is the maximum price you would be willing to pay to acquire the car? Explain.
2. How do you calculate the before tax-cost of the Sony bond and the after-tax cost of the Sony bond given the following information?:
- David Abbot is interested in purchasing a bond issued by Sony. He has obtained the following information on the security:
- Sony bond
- Par value $1,000 Coupon interest rate 6% Tax bracket 20%
- Cost $930 Years to maturity 10