Answer:
$16,667
Explanation:
Given that
Cash flows = $1,000
Growth rate = 6%
Interest rate = 12%
So by considering the above information, the amount would be
Amount = Cash flows ÷ (Interest rate - growth rate)
= $1,000 ÷ (12% - 6%)
= $16,667
We simply applied the above formula so that the amount could come by considering the given information
A recession is a time in an economy whereby trade and industrial activities is low.Economists believe that towards the end of this period is the best to start a business due to the following reasons: at this time things are more affordable as there is low circulation of money in the economy. Low-interest rates on loans thus credit is cheaper. Additionally, there will be less competition as the money is in the hands of few people during this time. Finally, many people want to save money and thus clients will be on the lookout for more affordable alternatives.
To attract customers to their store and not their more expensive competitors?
Answer:
WACC (CAPM) 5.2%
WACC (ICAPM) 5.03%
Explanation:
The weighted average cost of capital is
Ke * E/ E+D + Kd * (1 -t) D / E+D
Ke = Rf + (Rm - Rf) * 
Ke (CAPM) = 3.50% + (8% - 3.50%) * 1.12
Ke (CAPM) = 7.532%
Kd (CAPM) = Kd (1-t)
Kd (CAPM) = 7.60 (1-39%)
Kd (CAPM) = 4.636%
WACC (ICAPM) : 7.532 * 20% + 4.636 * 80%
WACC (CAPM) = 5.2164%
Ke (ICAPM) = 3.50% + (8% - 3.50%) * 0.86
Ke (ICAPM) = 6.596%
Kd (ICAPM) = Kd (1-t)
Kd (ICAPM) = 7.60 (1-39%)
Kd (ICAPM) = 4.636%
WACC (ICAPM) : 6.596 * 20% + 4.636 * 80%
WACC (CAPM) = 5.03%
We have slowly increased our demand for high-value items and therefore need credit cards rather than cash because carrying around.
For illustration,$ 40k in cash on your way to buy an auto isn't the safest idea. We can change the normalization of debt in the future by tutoring in academic ways to avoid debt and tutoring the true consequences of having so important debt.
Credit is generally defined as an agreement between a lender and a borrower. Credit also refers to an existent's or business's creditworthiness or credit history. In account, a credit may either drop means or increase arrears as well as drop charges or increase profit.
credit, which is capitalist that is available for you to borrow, debt is capitalist you've formerly espoused but haven't yet paid back. Credit is simply the capability to acquire debt.
still, you're adding$ 50 in debt, If you use your credit card to make a$ 50purchase. A loan can be considered as a disbenefit balance when the loan is given out by the business while it can be considered as a credit balance when it's taken by the business. Also, read MCQs on Trial Balance.
Learn more about credit here: brainly.com/question/6872962
#SPJ4