Answer:
it might be B but I'm not sure
Answer:
The answer is option B. For a levered firm, flotation costs should <u>be spread over the life of a project, thereby reducing the cash flows for each year of the project.</u>
Explanation:
When a company’s securities are listed on a public exchange, there is a general saying that securities are floated on the exchange. That is how the name flotation costs came about.
Flotation is actually the costs incurred by a company in issuing its securities to public. it is also called issuance costs.
Examples of Flotation costs include charges paid to the investment bankers, lawyers, accountants, registration fees of the securities regulator and the exchange on which the issue is to be listed.
Flotation cost would vary based on several factors, such as company’s size, issue size, issue type (debt vs equity),
In summary, Flotation costs are the cost a company incurs to issue new stock making new equity cost more than existing ones.
Business analysts argue that flotation costs are a one-time expense that should be adjusted out of future cash flows in order to not overstate the cost of capital forever.
It is based on this premise that i chose option B, which states that flotation costs be spread over the life of a project thereby reducing the cash flows for each year of the project at levered firms.
Because when you donate to a charity it will not be taxed so you can put your money somewhere without it being taxed with it going somewhere good
The implication of sharing confidential material information is about having to keep a certain thing private in a way that it should be remained secret and hidden unless it has been given consent by the person who holds the privacy to be told to another party. It is not release carelessly and should be handled with care as it should be kept by the person withholding the information.
Answer:
The answer is D, the reporter is liable for a claim of libel
Explanation:
First of, we need to understand that libel in it self refers to a false statement or report published against an individual and of which the report has a very high tendency of tarnishing the individuals image. In order words, it can also be refereed to as the defamation of character where the victim in this case is refereed to as the character.
So, referring back to the question. As a reporter, it is assumed that proper diligence has been done in respect to investigation or investigative journalism as some like to call it before going before the public to declare such a defaming statement and in such a case where such sequentially, the statement comes to be a false statement, the reporter and in some cases the firm at large is liable for a claim of libel.
So as related to the question asked, the answer is D.
