Change in price=Selling price-Buy price=16750-15000=1750
Cash flow=1500
Total return=1500+1750=3250
Asset's rate of return=3250/Buy price
=3250/15000
=0.216666667 or 21.67% (Rounded to two decimal places)
QUESTION 26 (5 points) Asset A was purchased six months ago for $15,000 and has generaced...
1) A. Six years ago, the Zircon company purchased a long-term asset for $3,875,500. The asset has a 20% CCA rate. Recently, at the end of year six, Zircon sold the asset for 850,000. Given this information, determine the value of the terminal loss or recapture at the end of year six. B. Zircon Company's effective tax rate is 26%. Calculate the value of the CCA tax shield for the third year (year 3).
4. A. Six years ago, the Zircon company purchased a long-term asset for $3,875,500. The asset has a 20% CCA rate. Recently, at the end of year six, Zircon sold the asset for 850,000. Given this information, determine the value of the terminal loss or recapture at the end of year six. B. Zircon Company's effective tax rate is 26%. Calculate the value of the CCA tax shield for the third year (year 3). btw, what are "effective tax rate"...
Mary purchased 100 shares of Sweet Pea Co. stock at a price of $41.51 six months ago. She sold all stocks today for $43.97. During that period the stock paid dividends of $1.38 per share. What is Mary’s effective annual rate? Round the answers to two decimal places in percentage form.
Mary purchased 100 shares of Sweet Pea Co. stock at a price of $47.84 six months ago. She sold all stocks today for $43.66. During that period the stock paid dividends of $1.21 per share. What is Mary’s effective annual rate? Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box) Your Answer:
An asset was issued 28 months ago. The asset promised just one cash flow of $12000, to be paid to the owner exactly 5 years from the date that the asset was issued. If the required rate of return on this asset is 8%, then what is its present value? Round your answer to the nearest dollar.
Six months ago, you purchased 2,300 shares of ABC stock for $28.08 a share. You have received dividend payments equal to $.80 a share. Today, you sold all of your shares for $30.07 a share. What is your total dollar return on this investment? Multiple Choice $12,834 o $6,417 o $1,840 Ο $12,834 Ο $6,417 Ο $1,840 Ο $5,721 Ο $4,577
Sarah purchased 100 shares of General Electric stock at a price of $61.51 three months ago. She sold all stocks today for $51.98. During the year the stock paid dividends of $3.47 per share. What is Sarah’s holding period return Round the answers to two decimal places in percentage form.
Question 1 1 pts 2 months ago, you purchased 799 shares of a non-dividend paying stock for $28.51 a share. Today, you sold those shares for $33.03 a share. What was your annualized rate of return (in percent) on this investment? Answer to two decimals.
BF2207 Question 2 Suppose that, six months ago, you sold a call option on 1,000,000 euros (EUR) with an expiration date of six months and an exercise price of 1.1780 United States dollars (USD). You received a premium on the call option of 0.045 USD per unit. Assume the following: • Money market interest rates for EUR are constant through time and equal 5% for all maturities. • Money market interest rates for USD are constant through time and equal...
- espumise. Question 13 of 18 Question 13 10 points For a consol with an annual payment of $80, calculate the rate of return for the year if its yield to maturity at the beginning of the year is 16 and at the end of the year the interest rate unexpectedly rises to 20%. TT T Arial • 3 (12pt) T E 25