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arsen [322]
1 year ago
15

other things held constant, the lower a firm's tax rate, the more logical it is for the firm to use debt. true false

Business
1 answer:
olga_2 [115]1 year ago
8 0

The tax shelter from debt is less valuable as the lower the tax rate. Consider the WACC's debt service costs: rd (1-Tax rate). The cost of debt is not reduced as much when the Tax rate is low as it is when the Tax rate is high. hence, the given statement is False.

<h3>What is the tax rate?</h3>

The tax rate in a tax system is the proportion at which a company or individual is taxed. Statutory, average, marginal, and effective tax rates are just a few of the ways that can be displayed.

Hence, The cost of debt is not reduced as much when the Tax rate is low as it is when the Tax rate is high. hence, the given statement is False.

Learn more about tax rate:

brainly.com/question/509359

#SPJ4

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Suppose that Jeremiah was unfairly terminated before his employment contract expired, and he had to spend $500 to find another j
ad-work [718]

Answer:

<u>Incidental</u> damages

Explanation:

In a situation where an employer doesn't fulfill a contract agreement with an employee, just like in the question above, where Jeremiah was unfairly terminated before his employment contract expired, he has the right to collect "damages" which is legal compensation for financial losses caused by the termination of his employment contract before it expired. Incidental damage is the answer because Jeremiah incurred expenses where he had to spend $500 to find another job as a result of the employer's breach of the contract.

4 0
2 years ago
You own a stock which has produced annual returns of 11 percent, 3 percent, 8 percent, and 14 percent over the past four years,
Nana76 [90]

Answer:

C) 9.00; 8.92

Explanation:

The arithmetic rate of return is given by:

R_{A} = \frac{11+3+8+14}{4} \\R_{A} = 9.00

The geometric rate of return is given by:

R_{G} =  (\sqrt[4]{(1.11*1.03*1.08*1.14)} -1) *100 \%\\R_{G} =  (1.0892-1) *100 \%\\R_{G} =  8.92

Therefore, the arithmetic rate of return is 9.00 percent and the geometric rate of return is 8.92 percent

The answer is C) 9.00; 8.92.

6 0
2 years ago
Is scented candle harmful to dogs?
MArishka [77]

Answer:

Scented candles are not harmful to dogs for normal use, but high concentrations in a confined space for a long time would have an impact on the dog's sense of smell.

Because the candles you use will cause a lot of burnt smoke which is harmful to dogs. And aromatherapy ingredients contain a lot of chemical substances. If the windows are opened, it will be ok, if not the more chemical substances accumulate, the more it will be harmful to dogs, or even to the health of people.

Here are several ways to avoid the harm caused by aromatherapy to dogs:

Do not ignite the two types of aromatherapy in a short time or at the same time, to avoid the two types of aromatherapy, which are mutually ineffective and produce toxic gas.

Try not to light candles in a closed bedroom when you sleep.

Keep air circulation.

Keep all kinds of aromatherapy out of reach of dogs.

Use Home Lights scented candles in the right way.

Explanation:

https://hlcandles.com/

4 0
3 years ago
Alex receives a raise at work and continues to work the same number of hours each week. what is the most likely way that his dem
Murljashka [212]

An inferior good is a type of welfare whose demand decreases when consumer income increases or demand increases when consumer income decreases. Therefore, if a consumer considers shirts to be inferior goods, the way he will stop consuming it will be when there is a real increase in his income.

In the case narrated, Alex had an increase in salary and remained working for the same number of hours. This means that with the same job, he will have a higher income, meaning there was a real increase in Alex's income. If he considers the $ 3 shirts a much lower asset, he will lessen the demand for it.

3 0
3 years ago
Read 2 more answers
Which of the following has the biggest impact on consumer goods during war times?
amm1812
<h3><u>Full question:</u></h3>

Which of the following has the biggest impact on consumer goods during war times?

a. Consumers deferring purchases in hopes of a better deal

b. High interest rates

c. Low inflation

d. High inflation

<u>Answer:</u>

The biggest impact on consumer goods during war times was High inflation

<u>Explanation:</u>

Inflation raised during or as an immediate outcome of these struggles of stock markets endured dull subsequent termination of the war. The government demanded to execute price and wage restrictions in acknowledgment of inflation which had risen due to the extra inducement that was generated by government spending.

Distinctly, both using and financing continued building subsequent the war; nevertheless, the growth was beneath the course rate before the war.  Prices, influenced by the rate of inflation, commonly affect consumer spending on goods significantly.

6 0
2 years ago
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