yilunzhao/KnowledgeMath huggingface dataset:
Topic: Accounting

In 2009, Pelican Enterprises reported a net profit of $1,000,000. On the first of January, 2009, there were 1,000,000 shares in circulation. The company issued an additional 100,000 shares at $20 per share on July 1, 2009. Common shareholders received $200,000 in dividends. What is the basic earnings per share for Pelican Enterprises for the year 2009?
Topic: Market Analysis & Economics

A company is planning to acquire 10,000 barrels of West Texas Intermediate Crude Oil and intends to hedge its purchase utilizing the Brent Crude Oil futures contract. Given that the correlation between the spot and futures prices is 0.72 and the annual volatility of the spot price and the Brent Crude Oil futures price are 0.35 and 0.27 respectively, what is the hedge ratio for the company?
Topic: Asset Classes & Derivatives

Based on the given information, what is the worth of Asset A utilizing the direct capitalization approach?

| | | Year 1 | Year 2 | Year 3 | Year 4 |
|---|---|---|---|---|---|
| | NOI | $1,100,000 | $1,166,000 | $1,236,000 | $1,310,000 |
| | | **DCF Assumptions** | | | |
| | | | Investment Hold Period | | 3 years |
| | | | Going-in Cap Rate | | 5.00% |
| | | | Terminal Cap Rate | | 6.00% |
| | | | Discount Rate | | 7.00% |
| | | | Income /Value  Growth Rate | | Constant |
Topic: Asset Classes & Derivatives

A researcher collects the following information for a value-weighted index: What is the return on the value-weighted index for the given period?

| Security | Beginning of Period: Price(E) | Beginning of Period: Shares | End of Period: Price(€) | End of Period: Shares |
|----------|-------------------------------|-----------------------------|-------------------------|-----------------------|
| A        | 20.00                         | 300                         | 22.00                   | 300                   |
| B        | 50.00                         | 300                         | 48.00                   | 300                   |
| C        | 26.00                         | 2,000                       | 30.00                   | 2,000                 |
Topic: Market Analysis & Economics

A financier from Australia presently possesses an equity portfolio worth A$240 million. Based on his evaluation of the risk and return potential of the Australian economy, he is thinking about reconfiguring his portfolio. A table was generated containing data relevant to the Australian investment markets and the economy: Use the data from the table to determine the historical Australian equity risk premium using the "equity-vs-bonds" premium approach.

| 10-Year Historical | Current | Capital Market Expectations |
| ----------------- | ------- | ---------------------------- |
| Average government bond yield: 2.8% | 10-year government bond yield:2.3% |   |
| Average annual equity return:4.6% | Year-over-year equity return:-9.4% |   |
| Average annual inflation rate: 2.3% | Year-over-year inflation rate:2.1% | Expected annual inflation: 2.3% |
| Equity market P/E (beginning of period): 15x | Current equity market P/E:14.5x | Expected equity market P/E: 14.0x |
| Average annual dividend income return: 2.6% |   | Expected annual income return: 2.4% |
| Average annual real earnings growth: 6.0% |   | Expected annual real earnings growth: 5.0% |
Topic: Asset Classes & Derivatives

By utilizing the two-stage dividend discount model, John has appraised the worth of Corporation N. The firm has given a dividend of $1 per share in the latest year. In this model, it is forecasted that the dividend will have an annual growth of 10% for the initial three years, then continue to grow at a rate of 5% per year indefinitely. With a required return rate of 10%, what is the present value of Corporation N's stock?
Topic: Accounting

The net income reported by Corporation B was $56 million. Given the subsequent balance sheets (in $millions), what was the known net financing cash flows for 2017? The assumption is that dividends paid are considered as CFF.

| Balance Sheet Item                          | 12/31/2016 | 12/31/2017 |
| ------------------------------------------- | ---------- | ---------- |
| Common stock                                | $50        | $55        |
| Additional paid-in capital  common stock    | $80        | $100       |
| Retained earnings                           | $95        | $150       |
Topic: Asset Classes & Derivatives

Assume that the hedge fund known as Global Finance started with an initial capital of $250 million. Global charges a 2% administrative fee based upon assets managed at the close of the year, and a bonus fee of 20% calculated on gains surpassing the 8% mark. The fund's value increased by 16% in its inaugural year. Given that management fees are calculated using end-of-year valuation, what will an investor's net return be, taking into consideration that the performance fee is calculated after the management fee?
Topic: Accounting

What is the financial leverage ratio for a business, given the provided selected financial data?

|                                       | $ Millions |
|---------------------------------------|------------|
| Short-term borrowing                  | 4,231      |
| Current portion of long-term interest-bearing debt |    |
| Long-term interest-bearing debt       | 925        |
| Average shareholders' equity          | 18,752     |
| Average total assets                  | 45,981     |
Topic: Portfolio Management & Strategy

According to the given chart and the details about inflation and GDP growth data, what is the yield for Portfolio X and Z, made up of a 55% allocation to portfolio X and a 45% allocation to portfolio Z?

| Fund | Expected Return | GDP Factor Sensitivity | Inflation Factor Sensitivity |
|------|-----------------|------------------------|------------------------------|
| A    | 15%             | 1.2                    | 1                            |
| B    | 20%             | 2                      | 0.2                          |
| C    | 10%             | 1.5                    | 0                            |

| Factor     | Forecast | Actual |
| -----------| ---------| -------|
| inflation  | 3.5%     | 4.2%   |
| GDP growth | 6%       | 6.5%   |
Topic: Accounting

According to the selected financial data given, what is the cash conversion cycle (in days) of the business?

| Metric                        |        |
|-------------------------------|--------|
| Sales                         | $421,000 |
| Cost of goods sold (COGS)     | $315,000 |
| Cash                          | $30,000  |
| Average accounts receivable   | $40,000  |
| Average inventories           | $36,000  |
| Average accounts payable      | $33,000  |
Topic: Accounting

If the company Atlantic Preserve prepares its financial statements following U.S. GAAP, what is the reported periodic pension cost on the income statement for 2013 (in $ thousands), as Loris has asked Paul to work out using the data in Exhibit 1?

|                                            |        |
|--------------------------------------------|--------|
| **Exhibit 1  Atlantic Preserves, Inc.**                |        |
| **Selected Information from Note F of the 2013 Annual Financial Statements** |        |
| **Relating to the Company's Defined Benefit Pension Plan (in $ thousands)**   |        |
| Start-of-year pension obligation           | 72,544 |
| Start-of-year plan assets                  | 60,096 |
| End-of-year pension obligation             | 74,077 |
| End-of-year plan assets                    | 61,812 |
| Current service cost                       | 1,151  |
| Interest cost                              | 5,441  |
| Actual return on plan assets               | 5,888  |
| Expected return on plan assets             | 4,597  |
| Benefits paid to retired employees         | 5,059  |
| Employer's contributions                   | 887    |
| Amortization of past service costs         | 272    |
Topic: Accounting

In the latest fiscal report, the depreciation expense for Smiths Ltd. stands at £20,000. Given the company's general information, what is the presumed residual useful life of the factory and machinery?

|           | Gross plant and equipments | Accumulated depreciation |
|-----------|---------------------------|-------------------------|
| Last year | £460,000                  | £110,000                |
| This year | £500,000                  | £120,000                |
Topic: Quantitative Analysis & Valuation

In nation Y, the odds of a letter sent via the mail service getting to its intended destination are 2/3. Suppose that each mail delivery is not influenced by any other, and if a girlfriend gets a letter from her boyfriend, she will definitely send a reply to him. Imagine a guy in nation Y mails a letter to his girlfriend (also in nation Y) using the mail service. Assuming the guy doesn't get a return letter from his girlfriend, what are the chances that his girlfriend received his letter?
Topic: Asset Classes & Derivatives

ABC has a three-year floating rate loan. To hedge the risk of increasing interest rates, the organization is considering entering into an interest rate swap. The notional principle of the floating loan is $5 million, the rate is Libor+1%. The swap's fixed rate is 5% and the floating rate is Libor, with payments made every six months. The notional principle of the swap is also $5 million. What is the first net interest payment?
Topic: Accounting

In reference to Exhibit 1: Common-Size Balance Sheets for Corporation X, Corporation Y, and Sector Average, what is the financial leverage ratio for Corporation Y?

| Assets                                         |   |   |   |   |
|------------------------------------------------|---|---|---|---|
| Current assets                                 |   |   |   |   |
| Cash and cash equivalents 0                    | 5 | 7 |   |   |
| Marketable securities 5                        | 0 | 2 |   |   |
| Accounts receivable, net 5                     | 15|12 |   |   |
| Inventories 15                                 | 20|16 |   |   |
| Prepaid expenses 5                             | 15|11 |   |   |
| Total current assets 35                        | 55|48 |   |   |
| Property, plant,and equipment, net 40          | 35|37 |   |   |
| Goodwill 25                                    |  0| 8 |   |   |
| Other assets 0                                 | 10| 7 |   |   |
| Total assets 100                               |100|100|   |   |
| Liabilities and Shareholders' Equity           |   |   |   |   |
|                                                |   |   |   |   |
| Accounts payable, Short-term debt              |10 & 10, 25 & 10 & 15| | | |
| Accrued expenses                               |   |0, 5, 3      |   |   |
| Total current liabilities                      |   |35, 25, 28   |   |   |
| Long-term debt                                 |   |45, 20, 28   |   |   |
| Other non-current liabilities                  |   |0, 10, 7     |   |   |
| Total liabilities                              |   |80, 55, 63   |   |   |
| Total shareholders' equity, total liabilities and shareholders' equity | |20 & 45 & 37, 100 & 100 & 100 | | |
Topic: Market Analysis & Economics

A put option from Europe possesses the following traits: S0 = $50; X = $45; r = 5%; T = 1 year; and σ = 25%. Utilizing the BSM formula, could you determine which value is closest to the put's value? Here are some values for reference: N(-0.78644) = 0.2158, N(-0.74644) = 0.2266, N(-0.49644) = 0.3085, N(-0.56644) = 0.2855.
Topic: Asset Classes & Derivatives

Venture Holdings is a hedge fund that started with $250 million in capital. Venture charges a 2% management fee based on assets managed at the end of the year, and a 20% incentive fee if their returns exceed an 8% benchmark in its first year. Venture experienced a 16% increase in its first year. Let's assume that the management fees are calculated using the end-of-period valuation. What would be the net return for the investor, assuming that the performance fee is calculated after deducting the management fee?
Topic: Accounting

Assuming Cash flow from investing activities as per U.S. GAAP is:

|                                   |        |
|-----------------------------------|--------|
| Net income                        | $55,000|
| Depreciation                      | $60,000|
| Taxes paid                        | $25,000|
| Interest paid                     | $5,000 |
| Dividends paid                    | $10,000|
| Cash received from sale of company building | $40,000|
| Issuance of preferred stock       | $45,000|
| Repurchase of common stock        | $20,000|
| Purchase of machinery             | $20,000|
| Issuance of bonds                 | $40,000|
| Debt retired through issuance of common stock | $45,000|
| Paid off long-term bank borrowings | $15,000|
| Profit on sale of building        | $15,000|
Topic: Quantitative Analysis & Valuation

A fund manager is evaluating if the 1-year default probability of a longevity bond provided by a life assurance corporation is not related to equity market returns. The fund manager establishes the following probability matrix using 1-year probabilities from the initial investigation: With the data in the table, what is the likelihood that the longevity bond will default in 1 year considering the market declines by 20% over 1 year?

|    |    | Longevity Bond |   |
|----|----|---------------|---|
|    |    | No Default    | Default |
| Market Returns | 20% Increase | 61% | 1% |
|                | 20% Decrease | 35% | 3% |
Topic: Market Analysis & Economics

According to the provided table, what is the target semideviation for the investment portfolio?

|     |     |
| --- | --- |
| Exhibit 1 10-Year Trailing Risk-Adjusted Performance |     |
| Average annual return | 8.20% |
| Minimum acceptable return (MAR) | 5.00% |
| Sharpe ratio | 0.95 |
| Sortino ratio | 0.87 |
Topic: Accounting

Thompson is a tax consultant, providing tax-related guidance to individual clients. One of his clients is Jennifer, an American citizen residing within the U.S. Jennifer recently became the owner of AAPL shares, left to her by a deceased relative who was also a U.S. resident. The U.S. uses the "step-up" in basis at death system. The shares were originally purchased 20 years ago at a cost of $15,000 (inclusive of commissions and other costs). When the relative passed away, the market value of the AAPL stock was $220,000, and Jennifer just sold these shares for $190,000. Jennifer’s tax rate for capital gains is 20%. The tax obligation from the sale of the AAPL shares is:
Topic: Accounting

A business that aims to increase its earnings has invested $1,000,000 in a machine with two key parts, as seen in the provided chart. The machine's anticipated total lifespan is 10 years, and the business employs the straight-line technique of depreciation. How does the first year's depreciation expense calculated in accordance with the International Financial Reporting Standards (IFRS) compare to the one under the US GAAP?

| Component | Cost | Useful Life |
|-----------|------|-------------|
| A         | $500,000 | 10 years |
| B         | $500,000 | 5 years  |
Topic: Accounting

A portion of the financial statement of Alpha Enterprises is presented below: Assets at the end of 2015: $5,000 Revenues for the year: $1,750 Expenses for the year: $1,200 Distributions to owners: $250 Retained earnings at the conclusion of 2014: $2,000 Contributed capital at the conclusion of 2015: $800 What should be the liabilities of Alpha Enterprises at the end of 2015?
Topic: Market Analysis & Economics

If Corporations D and F combined to form a new Entity, G, what would the three-company concentration ratio in the industry be considering that there are six corporations in the sector with respective market shares?

| Company | A  | B  | C  | D  | E  | F  |
|---------|----|----|----|----|----|----|
| Market  | 30 | 25 | 16 | 12 | 10 | 7  |
| Share (%) | |  |  |  |  |  |
Topic: Accounting

If John's Industries recently acquired a manufacturing machine for $60,000 which is predicted to produce an annual cash inflow of $25,000 for six years, and plans to depreciate the machine over six years for accounting reasons, while the tax authority calculates the machine's useful life to be 5 years. If we consider the tax rate to be 40% and the machines have no resale value. What would be the pretax income for John's Industries in the 6th year using the straight-line method?