Questions from Financial Management

Q: What are the four forms of business organization? What are the

What are the four forms of business organization? What are the advantages and disadvantages of each?

Q: You want to buy a house within 3 years, and you

You want to buy a house within 3 years, and you are currently saving for the down payment. You plan to save $5,000 at the end of the first year, and you anticipate that your annual savings will increa...

Q: a. Set up an amortization schedule for a $25,

a. Set up an amortization schedule for a $25,000 loan to be repaid in equal installments at the end of each of the next 3 years. The interest rate is 10% compounded annually. b. What percentage of the...

Q: You want to buy a house that costs $100,000

You want to buy a house that costs $100,000. You have $10,000 for a down payment, but your credit is such that mortgage companies will not lend you the required $90,000. However, the realtor persuades...

Q: What is a loan amortization schedule, and what are some ways

What is a loan amortization schedule, and what are some ways these schedules are used?

Q: Laiho Industries’ 2007 and 2008 balance sheets (in thousands of dollars

Laiho Industries’ 2007 and 2008 balance sheets (in thousands of dollars) are shown. a. Sales for 2008 were $455,150,000, and EBITDA was 15% of sales. Furthermore, depreciation and a...

Q: a. You plan to make five deposits of $1,

a. You plan to make five deposits of $1,000 each, one every 6 months, with the first payment being made in 6 months. You will then make no more deposits. If the bank pays 4% nominal interest, compound...

Q: Simon recently received a credit card with an 18% nominal interest

Simon recently received a credit card with an 18% nominal interest rate. With the card, he purchased a new stereo for $350. The minimum payment on the card is only $10 per month. a. If Simon makes the...

Q: It is now December 31, 2008 (t = 0),

It is now December 31, 2008 (t = 0), and a jury just found in favor of a woman who sued the city for injuries sustained in a January 2007 accident. She requested recovery of lost wages plus $100,000 f...

Q: Your father is 50 years old and will retire in 10 years

Your father is 50 years old and will retire in 10 years. He expects to live for 25 years after he retires, until he is 85. He wants a fixed retirement income that has the same purchasing power at the...