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Sergeeva-Olga [200]
3 years ago
5

​Andyco, Inc., has the following balance sheet and an equity​ market-to-book ratio of 1.4. Assuming the market value of debt equ

als its book​ value, what weights should it use for its WACC​ calculation? g

Business
1 answer:
Digiron [165]3 years ago
5 0

Answer:

29.80%

70.20%

Explanation:

The computation of weights should it use for its WACC is shown below:-

FMV of Andyco's Equity = Equity × Equity market-to-book ratio

= $690 × 1.4

= $966

Weight for Debt = Debt ÷ (FMV Equity + Debt)

= $410 ÷ ($966 + $410)

= $410 ÷ $1,376

= 29.80%

Weight for Equity = FMV Equity ÷ (Debt + FMV Equity)

= $966 ÷ ($410 + $966)

= $966 ÷ $1,376

= 70.20%

Therefore we have applied the above formula

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The World Trade Organization (WTO) has an important role in international trade. From the list below, select all statements abou
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Answer:

Letter A

Explanation:

The main objective of the WTO is to promote the liberalization of world trade, reducing or extinguishing trade and customs barriers to facilitate economic exchanges at the international level. The agreements involve trade in goods, services, and intellectual property.

It is also important to know that currently, the World Trade Organization has 156 member countries.

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fatima is struggling in her job and is experiencing increased dissatisfaction. She related to you that her manager has been unfa
KonstantinChe [14]

<u>Answer:</u>

Fatima's statement that she intends to continue in her job in spite of her dissatisfaction makes you think that Fatima will likely experience​ "Cognitive Dissonance".

<u>Explanation:</u>

Cognitive dissonance is a psychological concept when an individual experiences non consistent thoughts and emotions (regardless of the environment). In this example, Fatima had been expected to quit her job (because she hated the manager).

In spite of that, she continued to work. That caused the cognitive dissonance in her behavior, as she changed her attitude. People correlate decisions and feelings many times, but due to some factors like patience, need of job etc, worked for an individual to be consistent and continue job.

4 0
3 years ago
How can professional education improve the life of people​
devlian [24]

The education or educational programs which helps us to get the required practical and theoretical knowledge is called professional education. If we are provided with professional education it helps us to improve the lifestyle of people. We get job according to our knowledge. Which means if we have got professional education it helps us to get better job which provides us with good amount of money. And if we provided with better money our standard of living becomes good.

3 0
2 years ago
The contingency approach suggest?
frosja888 [35]
Ask your teacher about it
4 0
3 years ago
An insurance company is likely to attract customers like Clancy who want to purchase insurance because he knows better that the
cluponka [151]

Answer: adverse selection

Explanation:

From the question, we are told that an

insurance company is likely to attract customers like Clancy who want to purchase insurance because he knows better that the company that he is more likely to make a claim on a policy.

The idea above is called adverse selection. This is a situation whereby either the seller or the buyer believes that he or she has more information than the other person regarding a particular product.

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