Air Spares is a wholesaler that stocks engine components and test equipment for the commercial aircraft industry. A new customer has placed an order for eight high-bypass turbine engines, which increase fuel economy. The variable cost is $1.7 million per unit, and the credit price is $2.055 million each. Credit is extended for one period, and based on historical experience, payment for about 1 out of every 125 such orders is never collected. The required return is 2.0 percent per period.
Required:
1. What is the NPV per engine purchased on credit? (Do not round intermediate calculations. Enter your answer in dollars, not millions of dollars, e. g., 1,234,567. Round your answer to 2 decimal places, e. g., 32.16.) 2. Assuming that this is a one-time order, should it be filled? The customer will not buy if credit is not extended. Yes No ?3. What is the break-even probability of default in part (a)? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e. g., 32.16.)

Ticker services began operations in 2015 and maintains long-term investments in available-for-sale securities. the year-end cost and fair values for its portfolio of these investments follow.portfolio of available-for-sale securities cost fair valuedecember 31, 2015 $ 369,060 $ 357,988 december 31, 2016 420,728 445,972 december 31, 2017 572,190 676,901 december 31, 2018 864,007 768,966 prepare journal entries to record each year-end fair value adjustment for these securities.calculation adjustment required to fair value adjustment.12/31/15 existing balance in fair value adjustment-afs (lt) required balance in fair value adjustment-afs (lt) adjustment required to fair value adjustment-afs (lt) 12/31/16 existing balance in fair value adjustment-afs (lt) required balance in fair value adjustment-afs (lt) adjustment required to fair value adjustment-afs (lt) 12/31/17 existing balance in fair value adjustment-afs (lt) required balance in fair value adjustment-afs (lt) adjustment required to fair value adjustment-afs (lt) 12/31/18 existing balance in fair value adjustment-afs (lt) required balance in fair value adjustment-afs (lt) adjustment required to fair value adjustment-afs (lt) record the year-end adjusting entry for the securities portfolio as of december 31, 2015.date general journal debit creditdec 31, 2015 record the year-end adjusting entry for the securities portfolio as of december 31, 2016.date general journal debit creditdec 31, 2016 record the year-end adjusting entry for the securities portfolio as of december 31, 2017.date general journal debit creditdec 31, 2017 record the year-end adjusting entry for the securities portfolio as of december 31, 2018.date general journal debit creditdec 31, 2018