Question: If the number of £ per C$1.

> Subject to certain restrictions, you may elect to start collecting the Canada Pension Plan (CPP) monthly retirement pension at any time after you reach age 60. The payments are then reduced by 0.6% for each month the pension is collected before age 65. F

> Cynthia and Byron sell mutual funds for Syndicated Investors. Purchasers of mutual funds from agents of Syndicated Investors pay a front-end commission of 5.5%. The commission is paid on the total amount paid to Syndicated Investors, not on just the net

> A merchant pays a 3.5% fee to the Bank of Montreal on all MasterCard sales. 1. What amount will she pay on sales of $17,564 for a month? 2. What were her gross sales for a month in which the bank charged total fees of $732.88?

> The net proceeds to the vendor of a house after payment of a 5.5% real estate commission were $321,111. What price did the house sell for?

> A college bookstore buys back good-condition textbooks for 45% off the retail price of new books. What will a student receive for a book currently selling at $104.50 new?

> Niagara Dairies gives convenience stores a trade discount of 24% on butter listed at $72.00 per case. What rate of discount will Silverwood Milk Products have to give on its list price of $74.50 per case to match Niagara’s price to convenience stores?

> Green Thumb Nursery sells spreading junipers to the gardening departments of local grocery and building supply stores. The net price per tree is $27.06 after a trade discount of $22.14. What rate of trade discount is the nursery giving to retailers?

> Calculate the missing values. List Price ($) = 995 Discount rate (%) = 16 2 3 Discount amount ($) = ? Net price ($) = ?

> The net price to a car dealer of a model with a manufacturer’s list price of $34,900 is $28,687.80. What trade discount rate is the dealer being given?

> After a trade discount of 27.5%, a jeweller can obtain 0.50-carat (Empress Cut, F Colour) Canadian Polar Bear diamonds for $2138.75. What is the dollar amount of the trade discount?

> A 37.5% trade discount on a camera represents a discount of $223.14 from the suggested retail price. What is the net price to the buyer?

> Two mutually exclusive projects each require an initial investment of $50,000 and should have a residual value of $10,000 after three years. The following table presents their forecast annual profits. 1. Calculate the IRR of each project. On the basis of

> Best Buy Entertainment can obtain Panasonic MP3 players for $134 less a trade discount of 35%. A comparable Samsung model is available for $127 less a discount of 30%. Which MP3 player has the lower net cost? How much lower?

> The distributor of Nikita power tools is offering a trade discount of 38% to hardware stores. What will be the stores’ cost to purchase a rotary saw listed at $135?

> Calculate the missing values. List Price ($) = ? Discount rate (%) = 8 1 3 Discount amount ($) = ? Net price ($) = 989.00

> Calculate the missing values. List Price ($) = ? Discount rate (%) = 25, 10, 20, 10 Discount amount ($) = ? Net price ($) = 93.03

> Calculate the missing values. List Price ($) = 595.00 Discount rate (%) = 20, 12 12, 8 1 3 Discount amount ($) = ? Net price ($) = ?

> Calculate the missing values. List Price ($) = 99.00 Discount rate (%) = 16 2 3 Discount amount ($) = ? Net price ($) = ?

> Calculate the missing values. List Price ($) = ? Discount rate (%) = 16 2 3 Discount amount ($) = ? Net price ($) = 413.05

> Calculate the missing values. List Price ($) = 249 Discount rate (%) = 33 1 3 Discount amount ($) = ? Net price ($) = ?

> The basket of goods and services included in the Consumer Price Index cost $21,350 on the base date. Eight years later, the same basket cost $26,090. What was the CPI on the later date?

> Calculate the missing quantities to four-figure accuracy. Value on base date ($) = 451.10 Base value = ? Current value ($) = 398.60 Current index number = 441.8

> Due to a restricted capital budget, a company can undertake only one of the following three-year projects. Both require an initial investment of $800,000 and will have no significant terminal value. Project X is anticipated to have annual profits of $400

> Calculate the missing quantities to four-figure accuracy. Value on base date ($) = ? Base value = 1000 Current value ($) = 7729 Current index number = 2120

> Calculate the missing quantities to four-figure accuracy. Value on base date ($) = 8950 Base value = 100 Current value ($) = ? Current index number = 89.50

> Calculate the missing quantities to four-figure accuracy. Value on base date ($) = 735 Base value = 10 Current value ($) = 689 Current index number = ?

> Calculate the missing quantities to four-figure accuracy. Value on base date ($) = 189.50 Base value = ? Current value ($) = 431.70 Current index number = 2278

> Calculate the missing quantities to four-figure accuracy. Value on base date ($) = 7532 Base value = 100 Current value ($) = ? Current index number = 119.5

> Calculate the missing quantities to four-figure accuracy. Value on base date ($) = 3278 Base value = 1000 Current value ($) = 4961 Current index number = ?

> The late 1970s and early 1980s were years of historically high rates of inflation in Canada. The CPI was at 70.8, 77.1, 84.5, 94.6, 105.4, and 114.1 at the beginning of 1978, 1979, 1980, 1981, 1982, and 1983, respectively. These price index numbers are q

> From the end of 1990 to the end of 2018, the Standard & Poor’s 500 (S&P 500) U.S. stock index rose from 330.2 to 2506.9. If you had invested US$50,000 at the end of 1990 in a portfolio of the shares of the 500 companies in the index, what would the value

> We want to compare the increase in value of the stock portfolio represented by the S&P/TSX Composite Index during the 28-year period to the general increase in prices of goods and services during the same period. The CPI rose from 79.8 at the end of 1990

> From the end of 1990 to the end of 2018, the S&P/TSX Composite Index rose from 3257 to 14,939. If you had invested $50,000 in a portfolio of the shares of the companies in the index at the end of 1990, what would the value of those shares have been at th

> Academic Publishing is trying to decide which of two books to publish. The larger book will cost $125,000 to publish and print. Sales are expected to produce an annual profit of $32,000 for five years. The smaller book will cost $76,000 to publish and pr

> Statistics Canada calculates separate subindexes of the CPI for goods and for services. The goods index rose from 96.8 to 112.0 over a 10-year period. During the same period, the services index rose from 95.2 to 115.1. 1. How much did representative good

> A college student wishes to compare tuition fee increases during the period 2008 to 2018 to the general increase in the cost of living. Tuition increased from $355 per course in the 2008/09 academic year to $362 per course in the 2018/19 academic year. T

> In one year, the CPI increased from 106.3 to 108.9. How much money was required at the end of the year in order to have the same purchasing power as $1000 at the beginning?

> A basket of goods and services representative of the CPI cost $2750 when the CPI stood at 118.3. 1. What did the basket of goods cost 10 years earlier, when the CPI was at 93.1? 2. What was the overall percent inflation experienced by consumers for the e

> Calculate the missing quantities to four-figure accuracy. Value on base date ($) = 3278 Base value = 100 Current value ($) = 4961 Current index number = ?

> If the C$ per US$ exchange rate decreases by C$0.005 from its value in Table 4.2, what will be the change in the US$ per C$ exchange rate?

> If the C$ weakens by €0.0211 from the value in Table, what will be the new value of C$ per €1.00?

> If the C$ strengthens by £0.0021 from the value in Table, what will be the new value of C$ per £1.00?

> If the C$ weakens by C$0.0033 relative to the US$, what will be the new value for US$ per C$1.00?

> If the C$ appreciates by C$0.0017 relative to the £, what will be the new value for £ per C$1.00?

> A project requires an initial investment of $60,000. It will generate an annual profit of $12,000 for eight years and have a terminal value of $10,000. Calculate the project’s IRR. Should it be accepted if the cost of capital is 15%?

> If the C$ strengthens by 1.2% relative to the US$ in Table, what will be the new values for US$ per C$1.00 and C$ per US$1.00?

> If the C$ weakens by 0.5% relative to the € in Table, what will be the new values for € per C$1.00 and C$ per €1.00?

> If the number of C$ per ¥1.00 decreases by 0.00054 from the value in Table, which currency has appreciated and by what percentage?

> If the number of US$ per C$1.00 declines from 0.94168 to 0.92679, what will be the change in the C$ price per ounce of gold that a Canadian gold mine sells at the international price of US$975 per ounce?

> If the number of ¥ per C$1.00 declines from 89.641 to 87.816, what will be the change in the C$ price to an importer of a ¥195,000 item?

> If the number of US$ per C$1.00 rises from 0.7588 to 0.7889, what will be the change in the C$ price to an importer of a US$1500 item?

> If the € per ¥ exchange rate decreases by €0.0007 from its value in Table, what will be the change in the ¥ per € exchange rate?

> If the ¥ per A$ exchange rate increases by ¥1 from its value in Table, what will be the change in the A$ per ¥ exchange rate?

> If the US$ per £ exchange rate increases by US$0.006 from its value in Table, what will be the change in the £ per US$ exchange rate?

> Calculate the IRR of each of the four stages of the cost-reduction proposal in Problem 2 of Exercise 17.2. Based on the IRR investment criterion, which stages should be approved at an 8% cost of capital? Data from Exercise 17.2 Problem 2: An automotive

> If the number of £ per C$1.00 increases by 0.054 from the value in Table, which currency has depreciated and by what percentage?

> use the currency exchange rates in Table (reproduced below) to calculate the equivalent amounts of currencies. Given Amount = C$94,350 Equivalent amount = £

> use the currency exchange rates in Table (reproduced below) to calculate the equivalent amounts of currencies. Given Amount = €159,500 Equivalent amount = US$

> use the currency exchange rates in Table (reproduced below) to calculate the equivalent amounts of currencies. Given Amount = ¥756,000 Equivalent amount = C$

> use the currency exchange rates in Table (reproduced below) to calculate the equivalent amounts of currencies. Given Amount = £56,700 Equivalent amount = US$

> use the currency exchange rates in Table (reproduced below) to calculate the equivalent amounts of currencies. Given Amount = €3251 Equivalent amount = C$

> use the currency exchange rates in Table (reproduced below) to calculate the equivalent amounts of currencies. Given Amount = ¥3,225,000 Equivalent amount = £

> The price of a 40-ounce bottle of rum at a U.S. border duty-free store was US$27.00. At the same time, the price of a 750-mL bottle of similar quality rum in an Ontario LCBO store was C$28.95. Using the Ontario price as the base, what is the percent savi

> ArcelorMittal Dofasco can buy iron ore pellets from Minnesota at US$133 per short ton (2000 pounds) or from Labrador at C$165 per metric tonne (1000 kg). Which source is more expensive? How much more expensive is it in C$ per metric tonne? (1 pound = 0.4

> Hamish and Grace MacDonald have been investigating the cost of a holiday in Britain. From their home in Welland, Ontario, it is equally inconvenient to fly out of Toronto or Buffalo, New York. On the internet, they have found that they can fly Buffalo–Lo

> Burger Master bought the food concession for a baseball stadium for five years at a price of $1.2 million. If the operating profit is $400,000 per year, what IRR will Burger Master realize on its investment?

> If pork chops cost US$3.99 per pound in the United States and C$10.49 per kilogram in Canada, in which country are the chops more expensive? How much more expensive are they in C$ per kg? (1 kg = 2.2 pounds)

> use the currency exchange rates in Table (reproduced below) to calculate the equivalent amounts of currencies. Given Amount = C$14,500 Equivalent amount = ¥

> A cross-border shopping trip reveals that milk sells for US$3.53 per one-gallon jug versus C$6.44 per four-litre jug in Canada. Calculate the percent difference between Canada and the United States in the exchange rate–adjusted price of milk. Use the Can

> Using the exchange rates in Table 4.2, show that you will receive as many pounds for US$2560 by first converting the US$ to Australian $ and then converting the Australian $ to pounds as you would by converting the US$ directly to pounds. Data from Tabl

> Using the exchange rates in Table 4.2, show that you will receive as many euros for C$1150 by first converting the dollars to pounds and then converting the pounds to euros as you would by converting the dollars directly to euros. Data from Table 4.2:

> 1. Based on the exchange rates in the table in Problem 20, to the nearest 0.01%, what was the percent transaction cost on your purchase of €1100 from each of the Royal Bank and ICE? On any currency exchange transaction, ICE applies a C$3

> 1. Based on the exchange rates in the table in Problem 20, to the nearest 0.01%, what was the percent transaction cost on your purchase of £250 from each of the Royal Bank and ICE? On any currency exchange transaction, ICE applies a C$3.50 s

> Based on the exchange rates in the table in Problem 20, how many fewer Canadian dollars will you receive if you convert €96 at ICE instead of at the Royal Bank? On any currency exchange transaction, ICE applies a C$3.50 service charge.

> Based on the exchange rates in the table in Problem 20, how many fewer Canadian dollars will you receive if you convert US$165 at ICE instead of at the Royal Bank? On any currency exchange transaction, ICE applies a C$3.50 service charge. Data from Tabl

> Based on the exchange rates in the table in Problem 20, how many more euros can you obtain with C$1500 at the Royal Bank than at ICE? On any currency exchange transaction, ICE applies a C$3.50 service charge. Data from Table in Problem 20:

> A 10-year licence to distribute a product should increase the distributor’s profit by $10,000 per year. If the licence can be acquired for $66,000, what is the investment’s IRR?

> Based on the exchange rates in the table in Problem 20, how many more British pounds can you obtain with C$2000 at the Royal Bank than at ICE? On any currency exchange transaction, ICE applies a C$3.50 service charge. Data from Table in Problem 20:

> The following table presents the mid-rates, the Royal Bank’s buy and sell rates, and ICE Currency Exchange’s buy and sell rates (at their Vancouver International Airport operation) on January 12, 2019 for conversions b

> use the currency exchange rates in Table (reproduced below) to calculate the equivalent amounts of currencies. Given Amount = £123.50 Equivalent amount = €

> In October of 2018, Marielle bought 1200 shares of Yakamura Trading Co. on the Tokyo Stock Exchange at a price of ¥1150 per share. The exchange rate at the time was ¥80.96 per C$. She sold the stock for ¥1310 per share in August of 2019 when the exchange

> Kevin lives in Calgary and wants to buy a 2016 Corvette. The best price he can find for a low-mileage model in Alberta is $59,000. (No GST would be payable on this private sale.) Through autotrader.com he tracked down a comparable car in California that

> Keiko arrived in Oshawa to study English at Durham College. She used travellers cheques totalling ¥1,000,000 to open a Canadian-dollar bank account. What will her opening balance be if the bank charges 0.5% for the currency conversion?

> Heinz returned from a holiday in Germany with €235. How much will he receive from his bank when he converts the currency back to Canadian dollars? The bank charges a 1.6% service charge for the transaction.

> How much will it cost (in Canadian funds) to purchase £2000 worth of travellers cheques if the commission rate for this quantity of cheques is 0.5%?

> How much will it cost in Canadian dollars to purchase 2000 pesos in Mexican currency at a bank that charges a 3.5% commission on the transaction? Use an exchange rate of C$1.00 = Mexican peso 12.28.

> Calculate the desired exchange rate in the third column of the following table using the alternative version of the exchange rate given in the second column. a. Given exchange rate: Swedish krona 1.00 = C$0.14892 Desired exchange rate: Swedish krona ? =

> Determine the IRR on the chairlift expansion in Problem 7 of Exercise 17.2. Should the expansion be undertaken, given Jasper Ski Corp.’s required return of 7%? Data from Exercise 17.2 Problem 7: Jasper Ski Corp. is studying the feasibility of installing

> use the currency exchange rates in Table (reproduced below) to calculate the equivalent amounts of currencies. Given Amount = £8950 Equivalent amount = ¥

> use the currency exchange rates in Table (reproduced below) to calculate the equivalent amounts of currencies. Given Amount = C$49,900 Equivalent amount = €

> use the currency exchange rates in Table (reproduced below) to calculate the equivalent amounts of currencies. Given Amount = A$37,650 Equivalent amount = ¥

> use the currency exchange rates in Table (reproduced below) to calculate the equivalent amounts of currencies. Given Amount = US$1856 Equivalent amount = C$

> Their partnership agreement requires Bella, Edward, and Jacob to provide capital “when and as required” by the partnership in the ratio 1 : 1.35 : 0.85, respectively. 1. The total initial capital requirement was $256,000. How much did each partner contri

> Mr. Bartlett’s will specified that, upon liquidation of any asset, the proceeds be divided among his wife, his son, and his sister in the ratio of 7 : 5 : 3. 1. If the son received $9500 from the sale of securities, what amounts did Bartlett’s wife and s

> Andy, Candy, and Sandy agree to split the annual cost of $2739 for high-speed internet for the apartment they share. If the three roommates agree to allocate the cost of the service and their usage of the monthly download allowance in the ratio 3 : 8 : 5

> The leases in multiple-unit commercial developments commonly permit the landlord to allocate to the tenants various common area and general costs such as property taxes, janitorial services, security services, and snow removal. These costs are usually pr

> If you operate a home-based business, the Canada Revenue Agency (CRA) will usually allow you to report certain “office-in-home” expenses. The portion of heat, insurance, electricity, property taxes, and mortgage interest that you may report must be (in t

> If you use your car for both business and pleasure, the Canada Revenue Agency will usually allow you to report a portion of the costs of operating the vehicle as a business expense. This portion is determined by the ratio of the distance travelled on bus

> Determine the IRR on the ginseng crop in Problem 3 of Exercise 17.2. Data from Exercise 17.2 Problem 3: The pro forma projections for growing a 20-hectare ginseng crop require the expenditure of $250,000 in the summer that the crop is planted, and an ad

> On May 3, Mary Ann bought a two-year membership in a fitness club for $1260, on a special promotion. Cancellation is allowed at any time. A prorated refund will be paid, based upon the number of days remaining in the membership period. If she cancelled t