The population follows an unknown distribution. The sample mean is 120 and the standard error of the sample mean is 6. The sample size is 120. The 90% confidence interval for the population mean is closest to:
A. 108.24 to 131.76.
B. 70.5 to 169.5.
C. 110.1 to 129.9.
In 1998, Copper, Inc. completed a $4,000,000 bond issue to finance the purchase of equipment used in its operations. The bonds were convertible into common stock at a conversion rate of 100 shares per $1,000 bond. In 2001 the market price of Copper, Inc.抯 common stock rose above $10 per share, and all of the outstanding bonds were converted into common stock when the common stock was selling for an average price of $15 per share. Copper, Inc. prepares its Statement of Cash Flows using the indirect method. Given the above information, Copper 抯 Statement of Cash Flows for the year ended December 31, 2001 should include the following:
A. no reporting of the transaction in the Statement of Cash Flows, except for a footnote describing the conversion of the bonds into common stock.
B. under Cash Flow from Financing, "Retirement of Bonds: $4,000,000" and "Issuance of Common Stock: $4,000,000."
C. under Cash Flow from Financing, "Retirement of Bonds: $4,000,000" and "Issuance of Common Stock: $6,000,000" and under Cash Flow from Investing "Loss on Retirement of Bonds: $2,000,000."
D. no reporting of the transaction.
Which of the following costs associated with capital budgeting is a critical consideration but should not be included in forecasted projects’ cash flow?
A. Financing cost.
B. Opportunity cost.
C. Sunk cost.