When taking the $40 million debt and $100 million cash buyout of stocks into account, cost of debt is now a factor. Cost of debt was 5.88%, the bond rating of a AAA rated company like we assume Blaine
The addictive crop that the Portuguese loved so much is sugar. Many causes are responsible for the growth of the Atlantic System from 1500 to 1800. The sugar demand increased and so did the need for workers; since merchants had access to slaves they stole and bought them to work for
mortgage lending during the period. The majority of these were prime loans. Sub-prime loans made by CRA-covered institutions constituted a 3% market share of LMI loans in 1998, but in the run-up to the crisis, fully 25% of all sub-prime lending occurred at CRA-covered institutions and another 25% of sub-prime loans had some connection with CRA.  In addition, an analysis by the Federal Reserve Bank of Dallas in 2009, however, concluded that the CRA was not responsible for the mortgage loan crisis, pointing out that CRA rules have been in place since 1995 whereas the poor lending emerged only a decade later.  Furthermore, most sub-prime loans were not made to the LMI borrowers targeted by the CRA, especially in the years 2005–2006 leading up to the crisis.
In a 5 year period the banks’ were able to accumulate liabilities of 10 times the GDP or $120 billion and by the second quarter of 2008, Iceland’s external debt was 9.553 trillion Icelandic Kronur (€ 50 billion), more than 80% of which was held by the banking sector. This value compares with Iceland’s 2007 gross domestic product of 1.293 trillion kronur (€ 8.5 billion). (World Bank) [Iceland Country Study Guide Volume 1 Strategic Information and Developments by IBP,
If assesse acquired it for more than $10,000, is disregarded for only capital losses. If it is acquired for $10,000 or less, it is disregarded for both capital gains and capital losses. (b) (b) Functioning out Mr. Dave’s Net Capital Gain Capital Gains Tax of each asset should be calculated by Net Capital Gain formula given below: Net capital gain = Total capital profit for the current year Less: Total capital losses (including any net capital losses from previous years) 1) Generally, CGT is not an isolated tax. The net capital profits forms part of assesse assessable income in the year the CGT event occurred and is to be paid as a part of assesses income tax assessment for the respective income year. 2) As assets are often long term assesse needs to keep records safely and securely relating to purchase, conservation and enhancements.
As a result, one hedge fund manager in 2005, Boone Pickens of BP Capital Commodity Fund, was compensated with $1.4 billion (Anderson, 2006). A last common characteristic that hedge funds share is a lock in period that could be up to two years; this period restricts investors from taking out their money from the fund and allows the fund manager to buy and keep illiquid assets
Memorandum to the File Date: February 1, 2017 From: Mayra Ramirez Caicedo Re: The proper accounting treatment for investments debt and equity securities Facts Orange Corporation, our client, acquired four security investments during the year 2016. First, on January 1, 2016, Orange purchased a 35% interest in Canary, Inc. for $800,000 and it paid Orange a dividend of $60,000. The fair value of the interest was $1,000,000 at the end of the year. Second, on July 1, 2016, Orange acquired 5%, 10 year bonds of ABC, Inc. for $200,000 and received semiannually payments at the end of the year. The fair value of the bonds on December 31 was $204,000.
Walmart collects its receivables within 4.5days and Target by 5.6days. The inventory turnover ratio when comparing with the entire sector the two firms have low turnovers. It takes nearly 45 days for Walmart for turning its inventory and Target takes 60days and sector takes nearly 33 days. The Asset turnover of Walmart is compared higher than Target and the sector. (Exhibit I) Costco Wholesale Corporation- It is an US membership-only warehouse club that provides a wide selection of merchandise.
Panicked,European empires,like Spain and Portugal started financing trips,specifically to India where they had the largest diversity of food,animals and spices known at that time. Once a certain fellow named Christopher Columbus found Hispaniola (modern day Cuba),every European empire reaped the monumental economic benefits that was provided by the Columbian Exchange. The Columbian Exchange promoted trade,specifically the trade of agricultural commodities. It integrated many parts of the world,supplying items to nations that needed goods,and sold items on the marketplace when there was a strong demand.The Dutch were a prime example of nations that benefited from trade,as they assumed control of international trade.In the 50 year period in ,Dutch Conglomerate, Vereenigde Oostindische Compagnie(The Dutch East India Company)held an iron hand on trade,and the people of the Netherlands benefited immensely.Trade led to economic prosperity for many Dutch citizens,and fueled economic activity in the empire,leading the Dutch empire to be able to be as powerful as their rival,the British Empire.The Dutch is just a singular example of how trade strengthened many European empires as they profited off trade,helped stimulate economic activity in empires that needed it and help create high-paying jobs for the citizens that resided in Europe. Agriculture was another economic sector that benefited from the Columbian Exchange ,as the influx of newly discovered agricultural items flooded the marketplace,leaving farmers very wealthy.
Timeline of events: • WorldCom was founded in 1983 by Bernie Ebbers and it began as a re-seller of long-distance telephone services. • WorldCom bought around 50 other small long-distance firms, the Mississippi-based company set its sights on MCI, America’s second-biggest long-distance carrier, in 1997. • WorldCom outbid its competitors with help of high share price, securing a $37 billion merger in September 1998. • Mr Ebbers tried to buy Sprint, another American rival two years later but could not complete the deal owing to antitrust regulators on both sides of the Atlantic. • Mr Ebbers resigned as chief executive in April 2002 with WorldCom’s share price tumbling, and a probe by regulators taking place.
a. How much interest will the purchaser of this home pay over the life of the loan, being that the loan is a 30 year fixed mortgage that will require the purchaser to pay $1009 per month? ($745 of this payment represents principal and interest, the rest of the amounts used to calculate payments include insurance and tax) Solution: This problem requires the use of the Finance Charge formula: The Finance charge is equivalent to the total of all monthly
The maximum depreciation rate for the property is 10%. It is subsequently retired by the taxpayer as obsolete on December 31 of the third year. The deductible portion resulting from obsolescence is $350,000 ($500,000 - ($50,000 × 3)), and this amount is adjusted for inflation in order to determine the deduction for obsolescence of the property. Note that this amount does not reflect the actual depreciation deductions taken with respect to the property, which, because of inflation, will have exceeded $150,000 ($50,000 per year) over the three-year period during which the property was