Suppose unleaded gasoline is currently trading at $3.30 per gallon. You face an interest rate of 5.6 percent and a carrying cost of $.06 per gallon per month. The current market price of a four-month futures contract on gasoline is $1.63 per gallon. You are evaluating a three-month carry trade opportunity. a. Determine the present value of the storage costs (PVSC). (Round your answer to 4 decimal places.) PV of storage costs
b. Identify what the futures price should be under spot-futures parity. (Do not round intermediate calculations. Round your answer to 3 decimal places.) Future price
c. Calculate the potential profit per gallon. (Round your answer to 2 decimal places.) Potential profit per gallon

On february 3, smart company sold merchandise in the amount of $5,800 to truman company, with credit terms of 2/10, n/30. the cost of the items sold is $4,000. smart uses the perpetual inventory system and the gross method. truman pays the invoice on february 8, and takes the appropriate discount. the journal entry that smart makes on february 8 is:

Which of the following statements is correct? large corporations are taxed more favorably than sole proprietorships. corporate stockholders are exposed to unlimited liability. due to limited liability, unlimited lives, and ease of ownership transfer, the vast majority of u.s. businesses (in terms of number of businesses) are organized as corporations. most businesses (by number and total dollar sales) are organized as partnerships or proprietorships because it is easier to set up and operate in one of these forms rather than as a corporation. however, if the business gets very large, it becomes advantageous to convert to a corporation, mainly because corporations have important tax advantages over proprietorships and partnerships. most business (measured by dollar sales) is conducted by corporations in spite of large corporations’ often less favorable tax treatment, due to legal considerations related to ownership transfers and limited liability.

Why is it vital to maintain a designer worksheet? a. it separates the designs chosen for the season from those rejected by the company. b. it keeps a record of all designs created by the designer for a season. c. it charts out the development of an entire line through the season and beyond. d. it tracks the development of a design along with costing and production details. done