Answer
ysss because as we are humans ....there are certain limits....
Explanation:
Answer:
Option (c) is correct.
Explanation:
Given that,
Factory produces = 130,000 televisions per quarter
Total production hours used by the factory per quarter = 9,000
Therefore,
Velocity of units per hour = (Number of units produced ÷ Time taken to produce those units.
)
Velocity of units per hour = (130,000 units ÷ 9,000 hours
)
Velocity of units per hour = 14.44 units per hour
Answer: B. Decision making is part of the problem-solving process
Explanation:
Answer:
Milton Corporation
The company's cost of preferred stock is:
= 5.2%.
Explanation:
a) Data and Calculations:
Annual dividend per share = $5
Selling price of preferred stock = $100
Flotation cost per share = $3
The Company's cost of preferred stock, using the flotation cost is = Dividend per share/(Selling price - Flotation cost per share)
= $5/($100 - $3)
= $5/$97
= 0.052
= 5.2%
If the flotation cost was not incurred in the current period, the cost of preferred stock will be = $5/$100 = 0.05 = 5%
Answer:
Both A and B are true.
- A. All else held constant, if a company has a beta of 1.2, then the cost of equity for this company will increase if the risk-free rate decreases.
- B. If you assume a company has debt, then an increase in the tax rate will decrease the weighted average cost of capital for the company.
Explanation:
A)
The formula to calculate the cost of equity is:
cost of equity = risk free rate of return + [Beta × (market rate of return – risk free rate of return)]
e.g. market rate 15%, risk free rate 5%:
cost of equity = 5% + [1.2 x (15% - 5%)] = 5% + 12% = 17%
if the risk free rate decreases to 3%:
cost of equity = 3% + [1.2 x (15% - 3%)] = 3% + 14.4% = 17.4%
B)
the WACC formula = (cost of equity x weight of equity) + [cost of debt x weight of debt x (1- tax rate)]
if the tax rate increases, then the WACC will decrease because (1 - tax rate) will be lower.