Studio films is considering the purchase of some new film equipment that costs $150,000. it has a 5 year useful life with no salvage value. the new equipment is expected to increase revenues by $115,000 annually. annual incremental cash operating expenses are expected to be $40,000.the simple rate of return of the equipment is %.

Which of the following actions would be most likely to reduce potential conflicts of interest between stockholders and bondholders? a) compensating managers with stock options, b) financing risky projects with additional debt, c) the threat of hostile takeovers, d) the use of covenants in bond agreements that limit the firm's use of additional debt and constrain managers actions, e) abolishing the security and exchange commission

Which critical success factor improves with reduced cycle time, better quality standards, and improved efficiency when an is is implemented?

Bonds often pay a coupon twice a year. for the valuation of bonds that make semiannual payments, the number of periods doubles, whereas the amount of cash flow decreases by half. using the values of cash flows and number of periods, the valuation model is adjusted accordingly. assume that a $1,000,000 par value, semiannual coupon us treasury note with three years to maturity has a coupon rate of 3%. the yield to maturity (ytm) of the bond is 7.70%. using this information and ignoring the other costs involved, calculate the value of the treasury note: