An investor begins a business with a $1,000 investment. The company has these results for the first two years: Income of $150 in the first year Pays out no dividends in the first year. Income of $150 in the second year Pays out the entire cumulative income of $300 as dividends, and returns the original $1,000 investment. The discount rate for this investment is 10 percent. The PV factors for 10% are: Required: What are the abnormal earnings for year 1? What are the abnormal earnings for year 2, keeping in mind that the book value at the beginning of year 2 is the original investment ($1,000) plus the income from year 1 ($150) minus the dividends paid in year 1, (zero) [$1,000+$150-$0=$1,150]? What is the PV of the two years of abnormal earnings? The total cash in the firm at the end of the year 2 is $1,300. As of the initial investment, what is the present value of the $1,300? Now, for the accounting. How is the present value of the $1,300 related to the present value of the abnormal earnings?
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Which of the following diagrams represents a homogeneous mi…
Which of the following diagrams represents a homogeneous mixture?
The office hours are listed in the syllabus and they are by…
The office hours are listed in the syllabus and they are by appointment only.
As shown in the figure, a rectangular current loop is carryi…
As shown in the figure, a rectangular current loop is carrying current I = 3.0 A, in the direction shown, and is located near a long wire carrying a current Iw. The long wire is parallel to the sides of the rectangle. The rectangle loop has length 0.80 m and its sides are 0.10 m and 0.70 m from the wire, as shown. We measure that the net force on the rectangular loop as 4.9 × 10-6 N directed towards the wire. (a) What is the magnitude of the current Iw? [current] (b) In which direction does Iw flow: from top to bottom or from bottom to top in the sketch? [direction]
A tetrahedron has an equilateral triangle base with 20-cm-lo…
A tetrahedron has an equilateral triangle base with 20-cm-long edges and three equilateral triangle sides. The base is parallel to the ground, and a vertical uniform electric field of strength 200 N/C passes upward through the tetrahedron. (a) What is the electric flux through the base? [efluxtet] (b) What is the electric flux through each of the three sloping sides? [efluxsides]
______________ tries to reflect real life, something accessi…
______________ tries to reflect real life, something accessible to any viewer, in his super-realistic sculptures, like ______________.
This painting by ________________, is called the Deposition…
This painting by ________________, is called the Deposition of Christ, and is done in the _____________ style.
This fertility figure is nicknamed the _____________ and was…
This fertility figure is nicknamed the _____________ and was created during the __________period.
This group portrait from the Baroque Period is
This group portrait from the Baroque Period is
___________ shows how ____________ used intensely brilliant…
___________ shows how ____________ used intensely brilliant color, thick, rapidly applied brushstrokes, and expressive line in his paintings.