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zhuklara [117]
3 years ago
15

100 million diluted shares outstanding trading at $37.50 per share. The company has $1 billion of debt outstanding with a cost o

f debt at 6.5% at a marginal tax rate of 40%. The company has $100 million of cash on its balance sheet. What is the enterprise value of Correct Inc.
Business
1 answer:
Pepsi [2]3 years ago
4 0

Answer:

$4,650,000,000

Explanation:

We will use the formula below to calculate the enterprise value of Correct inc.

Enterprise value = Market value capital and debts - Cash and investments

= 100 million diluted shares × 37.50 per share + $1 billion of debt outstanding - $100 million cash

= $3750m + $1000m - $100m

= $4,650,000,000.

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6 0
3 years ago
Compared to attending a technical school, completing a four-year college degree allows you to (4 points)
OLEGan [10]
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3 years ago
Explain why employers are considered buyers of skills and employees sellers of skills in the labour market.
raketka [301]
The employers look for potential employees that they think would be a good fit and have good qualities.
8 0
3 years ago
Which statement below best captures the overall point and focus of the New York Times article, Document 3?
Artemon [7]

Answer:

Correct Answer:

C) The news story marks the historical event of the first black man being called up to play in the major leagues and expresses some concern over how Robinson will be treated by his major league peers.

Explanation:

<em>Option C ıs the best statement which captures the overall point and focus of the given New York Times article, Document 3.</em>

6 0
3 years ago
7. Assume that you manage a $10.00 million mutual fund that has a beta of 1.05 and a 9.50% required return. The risk-free rate i
Vadim26 [7]

Answer:

The correct answer is option (A).

Explanation:

According to the scenario, the computation of the given data are as follows:

First, we will calculate the Market risk premium, then

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4 0
3 years ago
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