Answer:
<u>decreases</u>
Explanation:
As per modigliani- miller approach, the value of a firm is not dependent upon the choice of capital structure of the firm.
Capital structure refers to the the blend or mix of different sources of capital a firm avails to raise funds. Such as debt and equity.
As per MM proposition 2, the expected yield of a stock is equal to equity capitalization rate plus an additional compensation for risk assumed by employment of debt in the capital structure due to which the debt-equity ratio rises.
As proportion of debt is increased in the capital structure, the earnings available to stockholders rise but this rise is offset by the rise in the expectation of shareholders which offsets the effect and thus value of firm remains the same.
Return on equity is given by 
Thus, as the return on equity increases , the amount of equity in capital structure decreases as this net income rises owing to employment of more and more debt in the capital structure.
Answer:
Day
Explanation:
To qualify as an exchange, a redemption must be substantially disproportionate. It should be below 80% of what it was before the redemption
They had 25% 80% would be 20% so those shareholders below 20% will be considered exchange:
Yak: 100 - 34 = 66 then 66 / 300 = 22%
So: 100 - 24 = 76 then 76/300 = 25.33%
Day 100 - 42 = 58 then 58/300 = 19.33%
Dya qualifies as decrease below 80% of their previous percentage of owership
Answer:
$1,589 favorable
Explanation:
Calculation to determine what the controllable variance for the month was:
Using this formula
Overhead Controllable Variance =(Budgeted overhead per unit x standard number of units) - Actual overhead expense
Let plug in the formula
Controllable variance=(6,040*$2.10)-$11,095
Controllable variance=$12,684-$11,095
Controllable variance=$1,589 favorable
Therefore the controllable variance for the month was:$1,589 favorable
What are your work values? If you don’t know you can Google ‘work values examples’ then you can find a job that best suits those specific values you chose.
The examples of firms and the goods they produce in the following market systems are:
Perfect competition- Foreign exchange markets.
Currency
Oligopoly - Auto Industry.
Cars.
Monopoly - Providers of water.
Water
Monopolistic competition - Restaurants
Food
Effective competition- Supermarkets
Wide range of products
<h3>What is Monopoly?</h3>
This refers to the situation where one business has total control of a market share and has no competition in the market.
Read more about monopoly here:
brainly.com/question/13113415
