Revenue and the recognition principle heartstrings gift shoppe sells an assortment of gifts for any occasion. during october, heartstrings started a gift-of-the-month program. under the terms of this program, beginning in the month of the sale, heartstrings would select and deliver a random gift each month, over the next 12 months, to the person the customer selects as a recipient. during october, heartstrings sold 25 of these packages for a total of $11,280 in cash. for the month of october, calculate the amount of revenue that heartstrings will recognize.

True or false: banks are required to make electronically deposited funds available on the same day of the deposit

Alpha industries is considering a project with an initial cost of $8 million. the project will produce cash inflows of $1.49 million per year for 8 years. the project has the same risk as the firm. the firm has a pretax cost of debt of 5.61 percent and a cost of equity of 11.27 percent. the debt–equity ratio is .60 and the tax rate is 35 percent. what is the net present value of the project?

Christopher kim, cfa, is a banker with batts brothers, an investment banking firm. kim follows the energy industry and has frequent contact with industry executives. kim is contacted by the ceo of a large oil and gas corporation who wants batts brothers to underwrite a secondary offering of the company's stock. the ceo offers kim the opportunity to fly on his private jet to his ranch in texas for an exotic game hunting expedition if kim's firm can complete the underwriting within 90 days. according to cfa institute standards of conduct, kim: a) may accept the offer as long as he discloses the offer to batts brothers.b) may not accept the offer because it is considered lavish entertainment.c) must obtain written consent from batts brothers before accepting the offer.