Quiz

1. If you maintain a good driving record, your car insurance company may

reward you with

You can buy a television for $825 cash or pay $75 down and the balance in 24 monthly payments of 42.25 is the installment price of the TV? By what percent would the installment price be greater than the cash price?

On October 31, 2015, the bank statement shows that your company has $12,956.73 in its checking account. You are aware of three outstanding checks for a total of $2,112.19.

What does the CIO of a company do?

Riley Company received a notice with its bank statement that the bank had collected a note receivable for $5,000 plus $150 of interest. The bank had credited these amounts to Riley 's account less a collection fee of $10.

A firm evaluates all of its projects by applying the IRR rule. A project under consideration has the following cash flows:Year Cash Flow0 - $ 27,200 1 11,200 2 14,200 3 10,200 If the required return is 16 percent, what is the IRR for this project?

g Suppose you have a possible investment that costs $100 today but, starting one year from now, pays $5 in some years with probability 1/3, and in other years pays $10 with probability 1/3, and in other years pays 8$ with probability 1/3.

On December 31, 2019, Hamilton Inc. sold a used industrial crane for $1,120,000 cash. The original cost of the crane was $5.38 million and its accumulated depreciation equaled $4.39 million on December 31, 2019.

The transactions completed by Franklin Company during January, its first month of operations, are listed below. Assume that Franklin Company uses the following journals: cash receipts (CR), cash payments (CP.

A Company's perpetual preferred stock sells for $102.50 per share, and pays a $9.50 annual dividend. If the company were to issue a new preferred issue, a flotation cost of 4.00% would be paid to the investment bankers.

Abigail spent $100 on a new edition of the personal finance textbook rather than $75 for a used copy. the additional cost for the new copy is called the