Narrative 11-2Solve the following problems using either Tables 11-1 or 11-2 from your text. When necessary, create new table factors. (Round new table factors to five decimal places, round dollars to the nearest cent and percents to the nearest hundredth of a percent)
Refer to Narrative 11-2. Brian Jones is selling his house. He has a choice of taking $125,000 today, or $135,000 in 6 months. He can invest at the Valley Bank at 18% interest compounded semiannually.
a.Which offer should he take?b.How much more money would he realize on the sale of the house by taking this offer?
What will be an ideal response?
| a. | Taking $125,000 today |
| b. | $1,250 |
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Which of the following is true of general partnership?
A) A business should make a profit in order to qualify as a general partnership. B) The general partners need not be the co-owners of the business. C) General partnerships can be oral or implied from the conduct of the parties. D) Charity organizations and schools are mostly formed from general partnerships.
Sheehan Corp. is forecasting an EPS of $5.00 for the coming year on its 500,000 outstanding shares of stock. Its capital budget is forecasted at $700,000, and it is committed to maintaining a $4.00 dividend per share. It finances with debt and common equity, but it wants to avoid issuing any new common stock during the coming year. Given these constraints, what percentage of the capital budget must be financed with debt?
A. 23.14% B. 35.43% C. 31.43% D. 29.43% E. 28.57%
Determining a production sequence for a group of jobs in a two-station flow shop to minimize the makespan has the advantage of:
A) maximizing the utilization of the shop. B) minimizing the percentage of jobs past due. C) minimizing the flow time of jobs on the first machine. D) minimizing the variance of past-due hours.