Determine the probability that the return greater than 8, Ask an Expert

Finance

1) A sample, of size 54 drawn from normal distribution for stock returns has mean of= 12% and a standard deviation of= 30%. Determine the probability that the return greater than 8% will be observed?

i) 16.35%
ii) 83.65%
iii) 66.67%

2) A $1,000,000 investment is depreciated using a 7-year MACRS class life. It needs $150,000 in extra inventory and will rise accounts payable by= $50,000. It will make $400,000 in revenue and $150,000 in cash expenses annually, and tax rate is= 40%. Determine the incremental cash flow in years 0, 1, 7, and 8?

Requirements

Min Pages: 1

View complete question

Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M914520

Have any Question?Write your Review or question?

Related Questions in Basic Finance

Question - the cost of raising capital through retained

Question - The cost of raising capital through retained earnings is the cost of raising capital through issuing new common stock. The current risk-free rate of return is 4.2%. The market risk premium is 6.1%. D'Amico Co. ...

1 a stock currently sells for 39 the dividend yield is 28

1. A stock currently sells for $39. The dividend yield is 2.8 percent and the dividend growth rate is 4.1 percent. What is the amount of the dividend that was just paid? 2. Broke Benjamin Co. has a bond outstanding that ...

Please help me with the following homework problemyou are

Please help me with the following homework problem: You are estimating your companies external financing needs for the next year. At the end of next year you expect that owners equity will be $80 million, total assets wi ...

The free cash flows in millions shown below are forecast by

The free cash flows (in millions) shown below are forecast by Bailey Brothers. If the weighted average cost of capital is 11%, and FCF is expected to grow at a constant rate of 5% after Year 3 (i.e., Year 4 to infinity) ...

Problem financial planningfinancial forecasting - use the

PROBLEM: FINANCIAL PLANNING Financial Forecasting - Use the percent of sales methods to prepare pro forma income statement for Calico Sales Co., Inc. projected sales for next year is P 4million. Cost of Goods sold is exp ...

Abc company has projected sales of 1616 in january the

ABC Company has projected Sales of $1616 in January. The sales are expected to grow by 11% each month.ABC's collection schedule is as follows: ABC collects 28 percent of its sales in the month of sale and the remainder i ...

We knownbspthat correlation coefficients between two assets

We know that correlation coefficients between two assets may range from -1 (negatively correlated) to +1 (perfectly correlated). Let's return to a definition. What is the expected return of a portfolio of assets?

1 how to find the total shortage for company sells 2338

1. How to find the total shortage for Company sells 2338 chairs a year at an average price per chair of $185. The carrying cost per unit is $25.67. The company orders 579 chairs at a time and has a fixed order cost of $5 ...

The exchange rates in new The exchange rates in New

The exchange rates in New York are: $1 = AUD 1.262 and $1 = £0.7492 A dealer is offering a quote: AUD 1 = £0.9067. What is the profit you can earn on $11977 using triangle arbitrage?

You are the project manager assigned to build and design a

You are the project manager assigned to build and design a parking garage. What might be an example of a lead you encounter when scheduling work activities?

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Basic Finance Expert