1. The 2019 statement of financial position of Roger's Tennis Shop Inc. showed $740,000 in the common stock account and $5.2 million in the additional retained earnings account. The 2020 statement of financial position showed $815,000 and $5.5 million in the same two accounts, respectively. If the company paid out $490,000 in cash dividends during 2020, what was the cash flow to shareholders for the year?
2. At 6.5% interest, how long does it take to double your money? To quadruple it?
3. The first comic book featuring Superman was sold in 1938. In 2014, this comic book was sold for $3.2 million on eBay. This represented a return of 25.53% per year. For this to be true. what must the comic book have sold for when new?
4. You want to be a millionaire when you retire in 40 years. How much do you have to save each month if you can earn an 11% annual return? How much do you have to save if you wait ten years before you begin your deposits? 20 years? Assume that the APR is compounded monthly.