The purpose of the swap agreement is for VB Technical Inc. to hedge its interest rate risk. By entering into the swap, VB Technical is attempting to manage the exposure to fluctuating interest rates on its $5,000,000 loan from BankAmerica. VB Technical receives a fixed rate payment of 6% from Last Bank Financial and pays a floating rate based on Libor, effectively converting its fixed-rate loan into a variable-rate loan.
On January 3, Year 1, the journal entry by VB Technical to record the execution of the swap contract would be as follows:
Swap Liability 122,000
Cash 122,000
On June 30, Year 1, the journal entry to record the payment of interest expense on the loan payable to BankAmerica would be:
Interest Expense 150,000
Interest Payable 150,000
The journal entry to record the net cash settlement on the swap with Last Bank Financial on June 30, Year 1 would be:
Interest Payable 37,500
Cash 37,500
The journal entry to record the change in the fair value of the swap contract on June 30, Year 1 would be:
Swap Liability 122,000
Unrealized Gain/Loss 122,000
The journal entry to record the change in the fair value of the loan payable on June 30, Year 1 would be:
Loan Payable 122,000
Unrealized Gain/Loss 122,000
On the Balance Sheet of VB Technical on June 30, Year 1, the Swap Liability and Loan Payable would be reported at their respective fair values. The Unrealized Gain/Loss related to the swap contract and the loan payable would also be reported. On the Income Statement, the Interest Expense would be reported based on the interest payments made on the loan payable and the net cash settlement related to the swap.
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A list of reasons on why could it take 36 years and $61,060 to pay off a $10,000 credit card dept.
Help I need the answer fast
Answer:
This is due to compound interest on the credit card bills.
Explanation:
Credit card debt of $10,000 is repaid when its due. The bank lends the credit card amount and then charges interest on the debt amount. The compound interest is added to the debt amount and then future value of the debt is greater than the present value.
If you saw a coworker take something from the clinic what would you do?
Answer:
Um I would either tell them that he took it or i would just not worry about
Answer:
Join him.......
A consumer with paying extra __ if they used the rent to own program to buy the computer rather than using cash
The most expensive overall option is to use a rent-to-own program to purchase the item.
How is this so?If customers chose to purchase the computer with cash instead of a rent-to-own arrangement, they would have to pay an extra $800.00.
For each of the things
Over the course of the contract, paying cash is the least expensive choice.
However, using a rent-to-own arrangement to buy the device will cost you the most money altogether.
Hence, it can be seen that purchasing the item is the most expensive option.
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Maria is considering buying a television and a refrigerator for her new apartment. Her monthly budget is $200.
Maria will pay an extra_______if she uses the rent-to-own program to buy the television, rather than waiting until she saves up enough money to pay cash for it.
If she saves her money and pays cash, she can purchase a refrigerator in
One of the theories in corporate finance field is a shareholder-based theory where the corporation should maximize the wealth of current shareholders. Explain THREE ways on how managers can maximize the shareholders’ wealth!
Managers can maximize shareholders' wealth through various methods, such as: Increasing Dividends: One of the easiest and most straightforward ways for managers to maximize shareholder wealth is by increasing dividends.
Stock Repurchase: A second way managers can increase shareholder wealth is through a stock repurchase program. This involves using a portion of the firm’s profits to buy back some of the company’s outstanding shares. This would increase the value of each remaining share, making them more valuable to existing shareholders.
Capital Expenditure: A third way managers can maximize shareholder wealth is through capital expenditure. By investing in new projects, managers can increase the firm’s profitability and thus, the value of the firm.
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FILL IN THE BLANK. ______ inventory turns is better b/c why
Higher inventory turns is better because it indicates that a company is selling its products more quickly and efficiently, which can result in a more profitable business.
Inventory turns, also known as inventory turnover, is a financial ratio that measures how quickly a company is selling its inventory and replacing it with new stock. A higher inventory turnover ratio indicates that a company is selling its products more frequently, which means that it is generating revenue more quickly and efficiently.
On the other hand, a lower inventory turnover ratio can indicate that a company is struggling to sell its products, which can result in excess inventory that ties up cash and leads to higher storage costs. This can have a negative impact on profitability and cash flow. Therefore, a higher inventory turnover ratio is generally preferred because it indicates that a company is effectively managing its inventory and generating revenue more efficiently.
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why does a surplus exist under a binding price floor?
Answer:
it makes the price so low that the quantity demanded exceeds the quantity supplied on the legal market.
The average rate of interest a firm pays on its combination of debt and equity is known as:.
The average rate of interest a firm pays on its combination of debt and equity is known as
cost of capitalWhat is Capital?This is one of the factors of production which is used to he;p finance a business by giving it the much needed boost to grow and expand.
With this in mind, we can see that the average rate of interest which a firm pays on its combination of debt and equity is known as the cost of capital as it used to offset net deficits.
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One of the main objectives of any company should be to let the target market know of its existence.
True or False
How do bonds earn income
Answer:
The owner of the bond receives interest payments, known as the coupon, throughout the life of a bond, at the interest rate that was determined when it was issued.
Explanation:
They are debt obligations, meaning that the investor loans a sum of money (the principal) to a company or a government for a set period of time, and in return receives a series of interest payments (the yield).
The annual demand for a particular item is 1,500 units. Production cost per item is $7.50. Set-up cost per set-up is $75 and annual production rate is 2,600. Holding cost per item per year is $0.80. Find the economic production quantity and the corresponding annual minimum cost.
The economic production quantity for the particular item is 1,529 units, with an annual minimum cost of $13,573.75.
To find the economic production quantity, we can use the Economic Order Quantity (EOQ) formula, which takes into account the demand, production cost, set-up cost, and holding cost. The formula for EOQ is given by:
EOQ = √((2DS) / H)
Where:
D = Annual demand (1,500 units)
S = Set-up cost per set-up ($75)
H = Holding cost per item per year ($0.80)
Plugging in the values, we get:
EOQ = √((2 * 1,500 * 75) / 0.80) = √(225,000 / 0.80) ≈ 1,529 units
To calculate the corresponding annual minimum cost, we use the formula:
Total Cost = DS + (D/Q)S + (Q/2)H
Where:
Q = Economic production quantity (1,529 units)
Plugging in the values, we get:
Total Cost = (1,500 * 7.50) + (1,500 / 1,529 * 75) + (1,529 / 2 * 0.80) ≈ $13,573.75
Therefore, the economic production quantity for the item is 1,529 units, and the corresponding annual minimum cost is approximately $13,573.75.
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Question 7
Normal Form Game: The table below provides a normal form, 2 x 2 game. The players are Column and Row. Column can choose either LEFT or RIGHT, and Row can choose either UP or DOWN. Their payoffs for each combination of moves are provided in the four boxes. Row Column LEFT RIGHT
-4 10
UP -2 7
0 -8
DOWN 3 9 How many Nash equilibrium are in the above game? A. 1 B. 3 C. 2 D. None of the above
Nash equilibrium means a situation in which both players of a game have chosen strategies that optimize their outcomes, given the other player's choices. In this 2 x 2 game, the players are Column and Row.
Column can choose either LEFT or RIGHT, and Row can choose either UP or DOWN.
Their payoffs for each combination of moves are provided in the four boxes.
The Nash equilibrium can be found by locating the intersection of the best strategy for each player in the game's matrix. For the given table, there are two Nash equilibrium. Hence, the correct option is C.
2. UP is Row's best strategy if Column chooses LEFT, and RIGHT is Row's best strategy if Column chooses RIGHT. LEFT is Column's best strategy if Row chooses UP, and DOWN is Column's best strategy if Row chooses DOWN. If Row chooses UP and Column chooses LEFT, then the payoff will be -4, which is Row's best possible payoff in the game. Similarly, if Row chooses DOWN and Column chooses RIGHT, then the payoff will be 9, which is Row's best possible payoff in the game.
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Summer, a nulliparous woman, is in the transition stage of the first stage of labor and is nearing the second stage. she and her coach (father of the baby) have been working together effectively for most of the labor, but summer lost control during transition. summer says she is exhausted and cannot imagine how she will be able to go on and to push. what criteria should be used to determine if summer has progressed to the second stage of labor
The criteria to determine if Summer has progressed to the second stage of labor are cervical dilation of 10 centimeters, complete effacement of the cervix, and fetal descent into the birth canal.
The criteria used to determine if Summer has progressed to the second stage of labor are cervical dilation and fetal descent. In the first stage of labor, the cervix gradually opens to a diameter of 10 centimeters. In the transition stage, the cervix dilates from 8 to 10 centimeters. The second stage of labor begins when the cervix is fully dilated and the baby starts to descend through the birth canal. This can be confirmed by a vaginal exam to assess cervical dilation and by monitoring fetal descent through the use of fetal monitoring.
Other signs that may indicate the onset of the second stage include the urge to push, increased rectal pressure, and a feeling of fullness in the pelvis. It is important for Summer's healthcare provider to monitor her closely to determine when she has progressed to the second stage of labor, as this is a critical time for both mother and baby.
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many of starbucks' competitive advantages also apply to international markets, which we view as a critical growth engine over the next several decades.
Yes, many of Starbucks' competitive advantages do apply to international markets. This is due to the fact that Starbucks has established a strong brand reputation, a loyal customer base.
Starbucks has been successful in replicating its business model in various international markets by adapting to local cultures and customs, while still maintaining its core values and quality standards. For example, in China, Starbucks offers unique menu items such as matcha and red bean latte, which are popular in Chinese culture.
Additionally, Starbucks' focus on sustainability and ethical sourcing also resonates with consumers globally. This has allowed the company to establish partnerships with local communities and farmers in various countries, further strengthening its reputation and competitive advantage.
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A foreign company that exports its products to the united states wishes to protect itself during a time in which the u.s. dollar is expected to be devalued. the company should:_________
A foreign company that exports its products to the united states wishes to protect itself during a time in which the u.s. dollar is expected to be devalued. the company should sell U.S. dollars. and buy foreign currency.
If the business anticipates a decline in the value of the dollar, the value of the foreign currency will rise. Therefore, it would make sense for the corporation to sell its U.S. dollars, which are predicted to lose value, and buy foreign currency, which will gain value in comparison to the U.S. dollar.
The United States dollar is the official coin of the United States and numerous other nations.
The Coinage Act of 1792 established the United States dollar on par with the Spanish silver dollar, divided it into 100 cents, and permitted the minting of coins with dollar and cent values. Federal Reserve Notes, which are commonly referred to as "greenbacks" due to their predominately green tint, are the type of U.S. banknotes that are issued.
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Kylee and Jamie are entrepreneurs working to develop a new charging device for cell phones. As they develop their device, they will need to work with the federal agency that sets standards to protect the public from unreasonable risk of injury. What agency will Kylee and Jamie need to work with before they can take their product to market? Explain what the agency regulates and how the agency will help them comply with relevant laws.
As Kyle and Jamie need to work with the federal agency that sets standards to protect the public from unreasonable risk of injury, the federal agency which they need to work with is the Consumer Product Safety Commission.
What is the role of Consumer Product Safety Commission?In United States, the Consumer Product Safety Commission is an independent agency of the government that seeks to promote the safety of consumer products by addressing all “unreasonable risks” of injury through coordinating recalls, evaluating products that are the subject of consumer complaints or industry reports etc.
The agency also developed an uniform safety standards and conduct research into product-related illness and injury. However, due to its small size, its attempts to coordinate with outside parties including companies and consumer advocates in order to leverage resources and expertise to achieve outcomes that advance consumer safety
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1+2+3+4+5+6+7+8+9+10+11+12+13+14
Answer:
105
Explanation:
1+2+3+4+5+6+7+8+9+10+11+12+13+14 = 105
Answer: 105
Explanation:
Explain the impact of strikes as a socio-economic issue on businesses.
what are some good jobs for an 15 or 16 year old ?
Answer:
dog walker,babysitting, fastfood restaurants
Answer:
Babysitter, Newspaper Delivery, Lawn Mowing, Lifeguard, Working Retail, Fast Food Server
Explanation:
Gregory is aiming to get the _ symbol for his products, which is awarded by the _
Answer: environmental friendly refrigerators prestigious , engineering agency
Explanation: Separated by Commas .
The role of corporate support in event marketing has
in the past few decades.
a. Increased
b. Decreased
C. Remained status quo
d. Developed
what is the importance of rigor and mortis in meat tenderizing
Explanation:
To keep tenderrrrrrrrr
A broker is concerned about the potential for litigation as a result of actions his licensees may take. He's implementing a risk management plan to reduce the level of risk his firm faces. What's the first step he should take
A broker first step should take, to identify the risk.
What is risk management?
The process of discovering, evaluating, and controlling risks to an organization's resources and profits is known as risk management.
The risk management process is made up of five fundamental processes that are used to control risk. It starts with identify the risk, analyze the risk, prioritize the risk, treat the risk, monitor the risk.
Hence, the significance of the risk management is aforementioned.
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chevron placed an ad with copy reading protecting the planet is everyones job we agree that encouraged consumers to use renewable energy which type of advertising was chevroon using
The type of advertising used by Chevroon that encouraged consumers to use renewable energy was Call-to-action marketing, which refers to using phrases that create a sense of urgency and drive consumers to action.
The Call-to-action (CTA) marketing strategy can be understood as a direction to action, that is, the organization will encourage the consumer to act in a certain way according to its advertising.
Some examples of CTA can be through the use of some jargon such as:
Read more.Buy now.Protect the planet.Therefore, this is a strategy that an organization uses to convert sales, attract and retain consumers, through incentives for the consumer to perform an action.
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Calculate the value of a bond that matures in 11 years and has a $1000 par value. The annual coupon interest rate is 15 percent and the market's required yield to maturity on a comparable-risk bond is 14 percent.
(a) The value of a bond can be calculated using the present value of its future cash flows. In this case, the bond has a 11-year maturity, a $1000 par value, and an annual coupon interest rate of 15%. The market's required yield to maturity on a comparable-risk bond is 14%.
Using the formula for the present value of a bond:
Value of Bond = (Coupon Payment / (1 + Yield)¹) + (Coupon Payment / (1 + Yield)²) + ... + (Coupon Payment + Par Value / (1 + Yield)¹¹)
Where:
Coupon Payment = Annual coupon interest rate * Par Value
Yield = Required yield to maturity
Substituting the given values:
Coupon Payment = 0.15 * $1000 = $150
Yield = 0.14
(b) The calculation involves discounting each cash flow by the appropriate discount factor. The discount factor is determined by the required yield to maturity and the time period. Each cash flow is divided by the discount factor raised to the corresponding power.
In this case, we have 11 cash flows, which include 10 coupon payments of $150 each and the final cash flow consisting of the coupon payment plus the par value.
To calculate the present value, we discount each cash flow by dividing it by (1 + Yield) raised to the respective power. The sum of all the present values will give us the value of the bond.
Please note that due to the large number of calculations involved, it is recommended to use a financial calculator, spreadsheet software, or specialized bond valuation tools to calculate the exact value of the bond.
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Solar energy is the least expensive source of renewable energy in the United States. True False
Answer:
False
Explanation:
Solar energy is one of the most expensive energy sources out there look it up!
Answer:
False
I think
ntex Ltd. issued 10,000, 10% Debentures of Rs.100 each at a premium of
10%, full amount being payable along with application. Applications were
received for the debentures issued and allotment was made. Pass the journal
entries.
Answer:
1. When the application money is reieved, Debit Bank for Rs.1,100,000; and Credit Debentures Application and Allotment a/c for Rs.1,100,000,
2. To transfer of application money along with premium on debentures allotted to the debentures account, Debit Debentures Application and Allotment a/c for Rs.1,100,000; Debit Debenture a/c for Rs.1,000,000; and Credit Security Premium Reserve a/c for Rs.100,000.
Explanation:
Since allotment were made, it implies the accounts for application and allotment can be combined. Therefore, the journal entries will look as follows:
Accounts Title Dr (Rs.) Cr (Rs.)
Bank (w.1) 1,100,000
Debentures Application and Allotment a/c 1,100,000
(To record the amount received from debenture application with the premium)
Debentures Application and Allotment a/c 1,100,000
Debenture a/c (w.2) 1,000,000
Security Premium Reserve a/c (w.3) 100,000
(To record the transfer of application money along with premium on debentures allotted to the debentures account)
Working:
w.1: Bank = (Units of debentures * Unit price) * (1 + Premium rate) = (10,000 * Rs.100) * (1 + 10%) = Rs. 1,100,000
w.2. Debenture = Units of debentures * Unit price = 10,000 * Rs.100 = Rs.1,000,000
w.3 Security Premium Reserve = Debenture * Premium rate = Rs.1,000,000 * 10% = Rs.100,000
the magnitude of operating leverage for perkins corporation is 4.5 when sales are $100,000. if sales increase to $110,000, profits would be expected to increase by what percent? a. 4.5% b.14.5% c.45% d.10%
It would be anticipated that the profit would rise by 45%. The appropriate response to the given question is option (c).
What is Operating Leverage?The percentage of a company's cost structure that is made up of fixed expenses as opposed to variable costs is measured by operating leverage. A corporation is said to have more operating leverage if its fixed expenses are higher than its variable costs.
Magnitude of operating leverage= 4.5
Old sales= $100000
New sales= $110000
Percentage increase in sales:
(New-old)/old = (110,000-100,000)/100,000
= 10%
Consequently, a percentage rise in profit might be anticipated:
sales percentage growth times the degree of operational leverage
= 10% * 4.5
= 45%
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If at the end of a period, a company has $400 in cash, $100 in accounts
receivable, and $100 in accounts payable, the post-closing trial balance will
show _____worth of debits.
A. $200
O B. $400
O C. $600
O D. $500
_____ quality relates directly to the reliability of the product or service.
Multiple choice question.
Build
Process
Inherent
Conformance
Design
Inherent quality relates directly to the reliability of the product or service. Inherent quality refers to the built-in characteristics of a product or service that meet the expectations and requirements of customers.
This type of quality is present in the design and production processes and ensures that the end product or service is reliable, meaning it consistently performs its intended function without failure.
Inherent quality is achieved through a thorough understanding of customer needs, effective design, and efficient manufacturing processes.
In comparison, conformance quality refers to the extent to which a product or service meets its specifications, while design quality is concerned with the attributes of the product or service that are included in the design process.
Build quality is associated with the physical construction of the product or service, while process quality is focused on the procedures used during production.
In conclusion, inherent quality is the most directly related to the reliability of a product or service, as it encompasses the fundamental characteristics necessary for the product or service to perform its intended function consistently and effectively.
Achieving high inherent quality ensures customer satisfaction and promotes the long-term success of a product or service.
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O societate producătoare de confecții vinde produse finite la cost de producție de 200 lei, marja de profit 10%, TVA 19% unui angrosist care vinde la rândul lui unui detailist cu adaos comercial de 15%, TVA 19%. Unitatea an detail vinde mărfurile clienților cu adaos comercial 10%, TVA 19%. Sa se determine prețul producătorului, al angrosistului și al detailistului.
Answer:
Prețul producătorului către angrosist este de 261,8 lei
Prețul vânzătorului cu ridicata către comerciantul cu amănuntul este de 301,07 lei
Prețul vânzătorului cu amănuntul pentru clienți este de 331,18 lei
(Notă: toate prețurile includ TVA)
Explanation:
În primul rând, trebuie să stabilim prețul producătorului către angrosist
Prețul producătorului către angrosist = (Cost de producție + Marja de profit) + TVA
Unde
Costul de producție = 200 lei
Marja de profit = Costul de producție x Rata marjei de profit = 200 lei x 10% = 20 lei
TVA = Preț de vânzare x Tarif TVA = (200 lei + 20 lei) x 19% = 41,8 lei
Prețul producătorului către angrosist = (200 lei + 20 lei) + 41,8 lei = 261,8 lei
Acum calculați prețul angrosistului către comerciantul cu amănuntul
Prețul vânzătorului cu ridicata către vânzătorul cu amănuntul = Prețul producătorului către vânzătorul cu ridicata + Marja de profit a vânzătorului cu ridicata + TVA cu ridicata
Unde
Prețul producătorului către angrosist = 200 lei + 20 lei = 220 lei
Marja de profit = 220 lei x 15% = 33 lei
TVA angrosist = (220 lei + 33 lei) x 19% = 48,07 lei
Plasarea valorilor în formulă
Prețul angrosistului către retailer = 220 lei + 33 lei + 48,07 lei = 301,07 lei
Acum calculați prețul vânzătorului cu amănuntul pentru clienți
Prețul vânzătorului cu amănuntul către clienți = Prețul cu ridicata al vânzătorului cu amănuntul + Marja de profit a vânzătorului cu amănuntul + TVA cu amănuntul
Unde
Prețul angrosistului către retailer = 220 lei + 33 lei = 253 lei
Marja de profit = 253 lei x 10% = 25,3 lei
TVA comerciant cu amănuntul = (253 lei + 25,3 lei) x 19% = 52,88 lei
Plasarea valorilor în formulă
Prețul comerciantului către clienți = 253 lei + 25,3 lei + 52,88 lei = 331,18 lei
Sau / OR
First, we need to determine the Price of the Manufacturer to wholesaler
Price of Manufacturer to wholesaler = ( Production cost + Profit Margin ) + VAT
Where
Production cost = 200 lei
Profit Margin = Production cost x Profit margin rate = 200 lei x 10% = 20 lei
VAT = Selling Price x VAT Rate = ( 200 lei + 20 lei ) x 19% = 41.8 lei
Price of Manufacturer to wholesaler = ( 200 lei + 20 lei ) + 41.8 lei = 261.8 lei
Now calculate the price of the wholesaler to retailer
Price of wholesaler to retailer = Price of Manufacturer to wholesaler + Profit Margin of wholesaler + VAT of wholesaler
Where
Price of manufacturer to wholesaler = 200 lei + 20 lei = 220 lei
Profit Margin = 220 lei x 15% = 33 lei
VAT of wholesaler = ( 220 lei + 33 lei ) x 19% = 48.07 lei
Placing values in the formula
Price of wholesaler to retailer = 220 lei + 33 lei + 48.07 lei = 301.07 lei
Now calculate the price of the retailer to customers
Price of retailer to customers = Price of wholesaler to retailer + Profit Margin of retailer + VAT of retailer
Where
Price of wholesaler to retailer = 220 lei + 33 lei = 253 lei
Profit Margin = 253 lei x 10% = 25.3 lei
VAT of retailer= ( 253 lei + 25.3 lei ) x 19% = 52.88 lei
Placing values in the formula
Price of retailer to customers = 253 lei + 25.3 lei + 52.88 lei = 331.18 lei