Finance Answers

Context Link: https://humbledollar.com/2019/07/terms-of-the-trade/

Question: Which of the tactics from the article do you think are more commonly used by social media influencers?

A project with a 3 year life and a cost of R95 000 generates revenues of R32 000 in year 1, R44 000 in year 2, and R52 000 in year 3. If the discount rate is 14%, what is the NPV of the project?

A mfg. concern, which has adopted standard costing, furnishes the following information:

Standard:

Material for 70 kg. Of finished products ----> 100 kgs.

Price of materials . -----> Rs. 1 per kg

Actual:

Output ----> 210,000 kgs

Material used -----> 280,000 kgs.

Cost of materials  ----> Rs. 2,52,000

Calculate material cost variance, material price variance, and material usage variance?

Directions: Provide the answer to the following financial ratios problem:

NOTE: USE UP TO TWO DECIMAL PLACES ONLY

6. GROSS PROFIT MARGIN= 0.60

  INVENTORY TURNOVER= 3

  AVERAGE INVENTORY= P 450,000

  NET PROFIT MARGIN= 0.12

  NET PROFIT= ?

7. CURRENT RATIO = 4

  DEBT RATIO= 0.2

  EQUITY= P 600,000

  NONCURRENT ASSETS= P 200,000

  NONCURRENT LIABILITIES= ?

8. AVERAGE DAYS IN INVENTORY= 20

  INVENTORY TURNOVER= ?

9. CURRENT LIABILITIES= 50% OF TOTAL ASSETS

  CURRENT ASSETS= 75% OF TOTAL ASSETS

  CURRENT RATIO= ?

10. NET PROFIT= P 300,000, MARGIN= 0.1

   INCOME TAX EXPENSES= 25% OF OPERATING PROFIT

   OPERATING PROFIT MARGIN= ?

Assignment 1.(a)Discuss what a financial system is and the key role that any financial system plays in an economy. ,(b)What are the main reasons for regulating financial institutions and how do the regulators do this?.

General guide :

Assignment should be at least 4 pages excluding the title page and references

Spacing should be at least 1.5

Attach the “turn it in certificate”

(50marks)

Assume that you just won the state lottery. Your prize can be taken either in the form

of $40,000 at the end of each of the next 25 years (that is, $1,000,000 over 25 years)

or as a single amount of $500,000 paid immediately.

a) If you expect to be able to earn 5% annually on your investments over the next

25 years, ignoring taxes and other considerations, which alternative should

you take? Why?

b) Would your decision in part a) change if you could earn 7% rather than 5% on

your investments over the next 25 years? Why?

c) On a strictly economic basis, at approximately what earnings rate would you

be indifferent between the two plans?

Discuss what a financial system is and the key role that any financial system plays in an economy. What are the main reasons for regulating financial institutions and how do the regulators do this? 15marks

Question 1

Discuss what a financial system is and the key role that any financial system plays in an economy. What are the main reasons for regulating financial institutions and how do the regulators do this?.

General guide :

Work should be at least 4 pages excluding the title page and references.

50marks

After retirement, Nguyen wants to open a Corona Spa. He is planning to retire in the next 30

years. He wants to be able to draw out of his savings 30 years after retirement an amount of

300 mil VNĐ per year. How much would he has to pay in equal annual deposits until

retirement to meet his objectives? Assume interest remains at 3%

Smokeless cigarettes may be replacing conventional cigarettes in the future. Discuss pros and cons of e-cigarettes and offer reasons for their merits and disadvantages.