Need help Completing the spreadsheet to determine the economically optimal investment in additional security.
Deliverable:
Spreadsheet that uses formulas to answer the assignment question:
1. Populate the cells in columns C-F using formulas
2. Write a formula in cell B23 that returns the amount of the optimal additional investment in security.
HINT: One way to do this is to use a VLOOKUP function in cell B23.
Homework 4 Example Calculations
For Homework 4, several calculations are required to find the optimal investment. For our purposes,
we will be using the investment amount of $250,000 for all our example calculations.
1. Expected Loss
The formula for Expected Loss consists of the following:
The probability a breach will occur x The estimated loss associated with a breach.
Using the homework example, if our company invests an amount of $250,000 into our
securities, the probability of breach decreases from a 40% chance to a 30% chance.
However, the total amount of money at risk stays constant at $10,000,000. Therefore, if we
multiply our new probability of breach, .3, by our total potential loss, $10,000,000, we get
an expected loss of $3,000,000.
2. Marginal Investment
The formula for Marginal Investment consists of the following:
Current Investment Amount – Previous Investment Amount
Marginal Investment is the extra amount of money our company is investing into a business
area (in this case securities). For our example, if we are considering investing an amount of
$250,000, our marginal investment would be our current investment amount, $250,000,
minus our previous investment amount, $0. This would give us a marginal investment equal
to $250,000. In addition, if you instead considered investing $500,000, the marginal
investment would be our current investment, $500,000, minus our previous investment,
$250,000, giving us a marginal investment once again equal to $250,000.
3. Marginal Benefit
The formula for Marginal Benefit consists of the following:
The Previous Expected Loss – The Current Expected Loss
The Marginal Benefit refers to the total amount an additional investment reduces the
Expected Loss. In simpler terms, if our company invests more money, we expect that the
expected loss will decrease. For example, if we are investing $250,000, our current expected
loss is $3,000,000. Meanwhile, the previous expected loss is $4,000,000 for investing $0. If
we take $4,000,000 and subtract $3,000,000, we get a marginal benefit of $1,000,000. This
means that by investing an additional $250,000 into securities, we were able to reduce our
expected loss by $1,000,000.
4. Net Benefit
The formula for Net Benefit consists of the following:
Marginal Benefit – Marginal Investment
When our company invests more and more into securities, we want to make sure that we are
getting a positive return on our investment. To see if our investments are giving us positive
results, we calculate the net benefit on each investment. Net Benefit will compare the
additional amount of money we have invested into securities to the amount that our expected
loss decreased. The goal should be that the expected loss decreases by more than the amount
of money we invest. For example, if our investment of $250,000, we have a marginal
investment of $250,000 and a marginal Benefit of $1,000,000. This would mean that our
total net benefit will equal $1,000,000 - $250,000, or $750,000. (*Note: Net Benefits can be
negative if the expected loss decrease is lower than the additional amount invested).
5. Cumulative Net Benefit
The formula for Cumulative Net Benefit consists of the following:
Current Net Benefit + All Previous Net Benefits
To find the optimal investment, we need to find the point at which investing more money
will not produce positive results. To find this point, we calculate the cumulative Net Benefit.
For our investment of $250,000, this would equal the current net benefit of $750,000 plus all
other previous net benefits (since we only have one prior investment, we would use that net
benefit of $0.) This would equal $750,000 + $0 or $750,000. For a further demonstration,
lets say our investment of $500,000 gives us a net benefit of $250,000. If we were to
calculate it’s cumulative net benefit, it would be $250,000 + ($750,000 + $0) = $1,000,000.

If your federal gross income was $12,950 or more and you're under 65, you must submit a single status tax return. If your federal gross income was $14,700 or more and you are 65 years of age or older, you must file.

Determines the tax rate applied to income. Head of household, married filing jointly, married filing separately, single, and qualified widow(er) with dependent child are the five filing statuses. A tax year is the 12-month period of time that a tax return covers. The tax year for people in the US is from January 1 to December 31 and includes taxes due on income earned during that time. The Where's My Return? feature is the easiest method to find out if you've received a tax refund. After receiving an e-filed return, taxpayers have 24 hours to start monitoring the status of their refund. After the return is processed and a refund is approved, the program also offers a customized refund date.

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Answer:

A budget that will allow to save at least \(\$100\) by the end of October is created.

Explanation:

The income in each month is \(\$600.\)

The fixed expenses are the cost of rent that is \(\$250\) for each month and the cost of bus pass that is \(\$40\) for each month.

The cost of books is \(\$150\), but only in September.

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If the firm uses retained earnings as its source of common equity, the firm's weighted average cost of capital (WACC) would be approximately 10.11%.

To calculate the weighted average cost of capital (WACC), we need to determine the cost of each component of the firm's capital structure and weight them accordingly.

Given:

Debt: 40%

Preferred Stock: 5%

Common Equity (retained earnings): 55%

Cost of Debt (rd): 10.8%

Cost of Preferred Stock (rp): 10.0%

Cost of Old Equity (rs): 13.4%

Cost of New Equity (re): 13.7%

Marginal tax rate: 25%

First, let's calculate the after-tax cost of debt:

After-Tax Cost of Debt (rd * (1 - tax rate)):

10.8% * (1 - 0.25) = 8.1%

Next, we can calculate the weights for each component of the capital structure:

Weight of Debt (WD): 40%

Weight of Preferred Stock (WP): 5%

Weight of Common Equity (WC): 55%

Now, we can calculate the weighted average cost of capital (WACC) using the formula:

WACC = (WD * rd) + (WP * rp) + (WC * re)

WACC = (0.4 * 8.1%) + (0.05 * 10.0%) + (0.55 * 13.4%)

WACC = 3.24% + 0.5% + 7.37%

WACC = 10.11%

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The duties and responsibilities of an operations manager can vary depending on the organization and industry, but typically include the following:

Planning and organizing: Developing and implementing plans, strategies, and goals for the operation to ensure efficient and effective use of resources and achieve business objectives.

Budgeting and financial management: Preparing and managing budgets, monitoring expenses, and ensuring financial sustainability.

Process management: Overseeing and optimizing the production or service delivery process to improve quality, efficiency, and customer satisfaction.

Resource management: Managing resources such as people, materials, equipment, and technology to ensure optimal use and productivity.

Risk management: Identifying and mitigating operational risks to minimize the potential impact on the business and its stakeholders.

Performance monitoring and analysis: Developing and implementing performance metrics to measure progress and identify areas for improvement.

Leadership and team management: Providing direction, coaching, and support to team members, and creating a positive work environment that promotes teamwork, motivation, and accountability.

Continuous improvement: Promoting a culture of continuous improvement, innovation, and learning within the operation to adapt to changing business needs and drive growth.

Overall, the operations manager is responsible for ensuring the smooth and efficient functioning of the organization's operations, while also meeting the needs and expectations of customers and stakeholders.

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The process that allows Marcia to review her images immediately after taking them to confirm that they are coming out as she wants is Digital capture.

Digital capture has all but replaced film capturing when it comes to photography thanks to the array of benefits that it comes with.

One such benefit is that one can instantly view a photograph that they have captured because digital cameras make the photo available immediately for the photographer to view them on their monitor.

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Based on Hope's check, her contribution to her RETIREMENT plan b. is pre-tax and therefore not included in federal income taxes.

The check notes that Hope's retirement contribution is not included in her federal taxable income.

This means that the contribution is paid pre-tax and will not be liable for federal income taxes. She will most probably pay taxes on the retirement fund when she withdraws from it.

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The equilibrium quantity is q = 50 units at a price p = $6,250.

To find the equilibrium quantity and price, we need to set the supply and demand functions equal to each other and solve for q (quantity) and p (price).

The supply function is given as p = 65q, which represents a linear relationship between price and quantity supplied. The coefficient of 65 indicates that for every unit increase in quantity, the price increases by $65.

The demand function is given as p = -q² + 7,500, which represents a quadratic relationship between price and quantity demanded. The negative coefficient of q² indicates that as the quantity demanded increases, the price decreases.

Setting the supply and demand functions equal to each other, we have:

65q = -q² + 7,500

Rearranging the equation and converting it into a quadratic equation form, we get:

q² + 65q - 7,500 = 0

By solving this quadratic equation, we find two potential values for q. However, since the demand function is a downward-sloping curve, we consider the positive value for q, which is q = 50 units.

Substituting this value back into either the supply or demand function, we can find the equilibrium price. Using the supply function, we have:

p = 65q

p = 65 * 50

p = $3,250

Therefore, the equilibrium quantity is q = 50 units, and the equilibrium price is p = $6,250.

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It should be noted that Cost-push inflation corresponds to lower output and demand-pull inflation corresponds to higher output.

Cost-push inflation serves as inflation that do take place when overall prices increase as a result of increases in the cost of wages and raw materials

Demand-pull inflation on the other hand describes the effects of an imbalance in aggregate supply and demand.

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A Pigovian subsidy that gets the socially optimal quantity of students to achieve education will be equal to D: "The distance between Pefficient and the Price on the Private Benefit curve at Qefficient."

A Pigovian subsidy is a government intervention aimed at reducing negative externalities, such as pollution or overuse of finite resources. In the context of education, a Pigovian subsidy would be used to encourage individuals to achieve the socially optimal level of education.

In this case, the socially optimal level of education would be represented by the quantity Qefficient. Pefficient is the price of education that would result in Qefficient without government intervention. The difference between Pefficient and the price on the private benefit curve at Qefficient represents the cost of the negative externality that the subsidy would address. This difference would be equal to the Pigovian subsidy.

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Account managers, account planners, and media buyers are all positions in the field of advertising. These positions are essential to creating and delivering advertising campaigns to the target audience.

Advertising is an integral part of marketing that involves creating and communicating messages to the target audience about products, services, or ideas. Account managers play a crucial role in the advertising process. They are responsible for managing the client's account, ensuring client satisfaction, and developing strategies that meet the client's objectives.

On the other hand, account planners are responsible for developing advertising campaigns that resonate with the target audience. They conduct market research, analyze data, and collaborate with other professionals to develop a creative brief that guides the advertising campaign's execution.

Finally, media buyers negotiate and purchase media space, including TV, radio, and print, to ensure that the target audience receives the advertising message. They are responsible for ensuring that the advertising message is delivered to the right audience at the right time.

Therefore, all three positions are critical in the advertising industry. They work together to develop effective advertising campaigns that meet the client's objectives and resonate with the target audience. Advertising is an exciting and ever-evolving field that requires professionals who are creative, strategic, and adaptable to change.

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Answer:

False

Explanation:

Total debt in finance is the summation of the organization long term and short term debts. the total debt can be calculated theoretically as summation of current liabilities and total for long-term liabilities

Total credit is the summation of loans that organization can borrow.

Therefore, Total Debits do not always have to equal total credits. There are a handful of exceptions.

it takes approximately 73 days for the company to collect its receivables.

To calculate the days sales in receivables, we need to use the following formula:
Days Sales in Receivables = (Average Accounts Receivable) / (Net Credit Sales / 365 days)
First, we need to find the average accounts receivable. We have the beginning net accounts receivable ($23,000) and the ending net accounts receivable ($15,000). To find the average, we add these two values and divide by 2:
Average Accounts Receivable = ($23,000 + $15,000) / 2 = $38,000 / 2 = $19,000
Next, we need to divide the net credit sales ($95,000) by 365 days:
Daily Net Credit Sales = $95,000 / 365 days = $260.27
Now we can use the formula to calculate the days sales in receivables:
Days Sales in Receivables = $19,000 / $260.27 ≈ 73 days

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Provide reasonable assurance that firms do not associate with clients whose management lacks integrity is a purpose of the acceptance and continuance of client relationships.

There are steps that can be taken to help lower the risk of taking on a problematic client from another company. It is equally crucial to keep an eye on both new engagements from existing clients and existing clients themselves to make sure they continue to meet the firm's acceptance criteria, which includes conflict of interest criteria.

With the goal of enhancing the quality of the work done by public accounting firms in the audit profession, Singapore Standard on Quality Control 1  proposes a number of methods that support firm-wide quality controls.

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Complete question

What is the primary purpose of the acceptance and continuance of client relationships and specific engagements element of quality control?

A. Guarantee that firms do not associate with clients whose management lacks integrity.

B. Provide reasonable assurance that firms do not associate with clients whose management lacks integrity.

C. Guarantee that firms will not be sued as a result of association with a client.

D. Provide reasonable assurance that firms will not be sued as a result of association with a client.

Answer:

D

Explanation:

The FDA requirement for an off site carter are:

In the term of economic business and law, FDA or also known as Food, Drug, and Cosmetic Act generally can be defined as an organizations that make a regulations based on the laws set forth in the Food, Drug, and Cosmetic Act (FD&C Act) or other laws. The FDA or also known as  Food, Drug, and Cosmetic Act included the Family Smoking Prevention and Tobacco Control Act in their operations.

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Answer:

Estimated tax is a periodic advance pre-payment of taxes based on the amount of income that is earned and the amount of estimated tax liability that will have been incurred as a result.

Answer:

I think multinational corporations in like these are bad. Because even people on diets or trying to diet, and people buy it for them not knowing its hard for them to say no.

Explanation:

The marginal probabilities and the conditional probabilities of the table are shown below:

The likelihood of an occurrence, independent of how another variable turns out, is known as marginal probability. The likelihood of an event happening in the presence of a second occurrence is known as conditional probability.

The marginal probabilities that a sale originated in each of the four regions are:

The possibility of an event or outcome happening contingent on the occurrence of a prior event or outcome is known as conditional probability. The probability of the prior event is multiplied by the current likelihood of the subsequent, or conditional, occurrence to determine the conditional probability.

The conditional probabilities of selling a book given that the customer resides in each region is:

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The other types of marketing strategies are differentiated marketing, concentrated marketing, and micromarketing.The marketing strategy used by companies that choose to target a broad market is referred to as undifferentiated marketing. so the answer is A.

What is undifferentiated marketing?Undifferentiated marketing is a marketing approach in which companies target the whole market with a single product or service without considering the needs of individual market segments. In other words, companies utilizing an undifferentiated marketing strategy design a single product that caters to the entire market without considering demographic or psychographic differences among individual buyers.

Undifferentiated marketing has some advantages, including the ability to reach a wide range of potential customers, lower production costs, and greater efficiency. On the other hand, some drawbacks of this marketing strategy include a lack of product differentiation, which makes it challenging for the company to establish a competitive advantage, and a high risk of market saturation.The other types of marketing strategies are differentiated marketing, concentrated marketing, and micromarketing.

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Answer:

It depends on the context.

Explanation:

In the example of a government allocating resources to the country then yes. They would set budgets/allocate certain amount of resources to ensure there is enough resources for each department.

This is similar to how we manage finances on a daily or monthly basis (?) e.g. our parents give us pocket money every day so we have a limited funding and do not overspend

We then decide what we want to spend our money (allocating resources) on so we can get what we want to buy or what we want to save

A, B, and C are all correct in regard to mortgage pass-through securities. Mortgage pass-through securities are backed by a pool of mortgages and are issued by a government-sponsored enterprise (GSE) such as Fannie Mae or Freddie Mac.

The monthly cash flow to the investor consists of the interest payments and scheduled principal payments from the underlying mortgages, as well as the prepaid principal from those mortgages. The monthly cash flow to the investor is typically less than the total cash flow from the underlying mortgages, as the GSE may retain a portion of the cash flow for administrative costs.

The investor has no recourse against the underlying mortgages, and so the cash flow from the mortgages is their only return on the investment.

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Distribution channels refer to the various channels through which products can reach consumers. Distribution channels can be direct or indirect, but they all serve the same function of transporting products from the manufacturer to the end-user. Here are some possible channels of distribution from a manufacturer to a customer:

1. Direct Distribution Channel: This channel is when a manufacturer sells directly to customers without using intermediaries. It is the simplest distribution channel and involves the shortest chain of distribution.

2. Indirect Distribution Channel: In an indirect distribution channel, intermediaries are involved in getting the manufacturer’s products to customers.

3. Dual Distribution Channel: In this channel, a manufacturer will sell their products through direct and indirect channels simultaneously. This channel offers a manufacturer the best of both worlds, reaching more customers through intermediaries and getting more control through direct sales.

4. Reverse Distribution Channel Reverse distribution is the process of moving goods from the end-user back to the manufacturer or distributor.

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Answer:

your awnser is false if im wrong messages me:)

Maintenance problem simulation can assist management in analyzing various staffing strategies based on machine downtime and labor cost. This assertion is True.

Maintenance workforce oscillations can be obtained using maintenance staffing simulation. Management can use simulation techniques to analyze staffing strategies.

Rapid repair of unexpected breakdowns of facility system components is a critical demand that is highly conducive to user convenience and system longevity. A key decision in this regard is the determination of maintenance staffing, particularly the number of maintenance crews.

Simulation techniques involve sampling the input and characterizing the uncertainty in the output. This is especially true for the crude Monte Carlo method, which is well suited to characterizing events with associated probabilities that are not too low in relation to the simulation budget.

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objectives of financial planning are identifying the investment, resource, and financial needs of the future. choosing the financial sources. efficient administration or use of these monies. locating plan's dangers and problems.

In order for a company to fulfill its strategic goals and objectives, financial planning must be done. The Financial Plan is often developed by a corporation as soon as the vision and goals have been established. According to common usage, a financial plan is a thorough assessment of a person's present earnings and future financial condition that uses currently available information to forecast future earnings, asset values, and withdrawal schedules.

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Answer:

True

Explanation:

A free market, in normal terms does not permit the formation of monopolies seen as competition, and is also one of the characteristics of market that is free that are not obstructed, pure, by any involvement or interference from the government.

Therefore there is a possibility  for predator multinationals to create or form monopolies.

Answer:

The production and transport of good and service are high and rises than the demand pull inflation occurs. It may be profitable for any business. Demand pull inflation need cost more but more than that they get profit

gorilla, corp. net annuity pension liability on december 31, can be reported as $20,000.

The option (B) is correct.

The net pension liability is the contrast between the complete benefits responsibility (the current worth of projected benefit installments to representatives in light of their past help) and the resources (generally ventures revealed at fair worth) put away to pay current workers, retired folks, and recipients.

Using the formula

Net pension liability = Projected benefit obligation - Fair value of the planned Asset

Projected benefit obligation = $103,000

The fair value of the planned Asset = $78,000

= $103,000 - $78,000

= $20,000

Therefore gorilla, corp. net pension liability on december 31 can be reported as $20,000.

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