Calculate the after-tax interest income

Assignment Help Business Management
Reference no: EM132975423

You are working as a treasurer for a Toronto-based long-term healthcare company. Your company has $100,000,000 of excess cash and you notice that, on June 29, the 3-month overnight financing rate is 0.12%. If you consider depositing your company's excess cash ($100,000,000) for 28 consecutive days in this overnight rate, calculate the after-tax interest income assuming that the tax rate on interest income is 40%. Also, assume that there is no transaction cost and there are 30 days in one month

Reference no: EM132975423

Questions Cloud

Compute diluted earnings per share : The company had 350,000 of 6% convertible bonds outstanding which was outstanding throughout the year. Compute diluted earnings per share (EPS)
How many pounds of green beans must restaurant order : A restaurant forecasts that it will need to serve 70 three-ounce portions of trimmed green beans tomorrow and the next day (the next order period). If the yield
Calculate icbm corporation weighted average cost of capital : The debt structure of the firm consists of 10,000 bonds. Calculate ICBM Corporation's weighted average cost of capital (WACC).
Globalization and deglobalization-costs and benefits : 1. What are the three or four significant elements that were learned in the article?
Calculate the after-tax interest income : You are working as a treasurer for a Toronto-based long-term healthcare company. Your company has $100,000,000 of excess cash and you notice that, on June 29, t
Why is the payback method so popular : Why is the payback method so popular? NPV is clearly the best method, so why is it not more embraced as opposed to the IRR method?
Describe marx attitude toward job enrichment : "I really have the best of two worlds here," Charles Marx announced in a morning production meeting. Mr. Marx, owner of Marx, Inc., was referring to his two lin
Communities of practice : Which of the following is NOT true about communities of practice?
Prepare deferred tax worksheet and journal entry to account : Prepare a Deferred Tax Worksheet and journal entries to account for income tax on 30 June 2021 in accordance with IAS 12/ AASB 112 Income Taxes.

Reviews

Write a Review

Business Management Questions & Answers

  What soft skills do you believe you currently have give

what soft skills do you believe you currently have? give one-two examples of how you have used those skills.what soft

  Reallocate a signifant amount of accrued division

The CEO in a corporation instructed the general accounting department to reallocate a signifant amount of accrued division expense in order to meet budget targe

  Particular labor market for protective services

Jim, Mike and David are the only individuals participating in the very particular labor market for 'protective' services.

  Identifying the four beginning stages of critical thinking

Identifying the four beginning stages of critical thinking - explanation of your current level of critical-thinking development.

  Context of business are changing role of management

Discuss how you think changes in the context of business are changing the role of management. What parts of the manager's role discussed

  Why are these factors important to the decision

What factors would we consider when determining which structure we would use? Why are these factors important to the decision?

  Addressing key issues in healthcare strategic management

What issues do you perceive will need to be addressed in your organization and what organizational structure would best position your health care entity as a leader in its industry?

  Discuss the capital budgeting

Discuss the capital budgeting you had to do in order to complete the project. What types of projects do you think require the least detailed

  Main determinants of the demand for foreign exchange

What are the main determinants of the demand for foreign exchange (say, Japanese yen) in the U.S.? List them and briefly explain each.

  How they like to interact with the company and the ability

How they like to interact with the company and the ability to deliver personalised experiences which they find useful and engaging. Why?

  Operations security in current job

Describe how you could use operations security in your current job

  Importance for a union in a public school

What is the importance for having a union in a public school?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd