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Nataliya [291]
3 years ago
15

Strategically , a company may phase out or sell an sbu. this is known as

Business
1 answer:
sdas [7]3 years ago
6 0
Strategically, a company may phase out or sell an SBU this is known as DIVESTMENT.
Divestment is the process of selling an asset to obtain financial goals. Divesting involves a company selling its assets to improve its value and obtain higher efficiency.

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The the bacteria turn the nitrogen into
Archy [21]
Soil bacteria convert atmospheric nitrogen into nitrates that becomes usable by a plant's root(s) to absorb it and use it in chemical reactions.
5 0
2 years ago
Sandra waterman purchased a 52-week, $1,000 t-bill issued by the u.s. treasury. the purchase price was $996. (a) what is the amo
Darina [25.2K]
(a) Discount amount = Face value - Price of t-bills = $1,000-$996 = $4

(b) Amount received at maturity = Face value = $1,000 (Note: T-bills are guaranteed and thus one of the safest investment).

(c) Current yield, R = Discount amount/Face value * 360/t, where t = 52 weeks = 360 days.

Then,

R = (4/1000)*(360/360)*100 = 0.4%
6 0
3 years ago
Toyota has been working alongside us for years, but we just heard the bad news: they’re not renewing our electric vehicle (EV) c
klemol [59]

Answer:

The right approach is Option a (Bargaining power of suppliers).

Explanation:

  • The concept is such an industry influences the buyer's business climate and determines the potential including its buyer to attain profitability.
  • The meaning is basically how very much jurisdiction a single provider has. By supplier, I represent the industries that create the manufactured goods that even the sellers refine into the finished product to something like the sellers throughout the business. If there are several suppliers during the sector because each supplier is indeed very poor.

8 0
3 years ago
Which of the following statements is CORRECT? a. Because of tax effects, an increase in the risk-free rate will have a greater e
Anastaziya [24]

Answer: I found the complete Question: Which of the following statements is CORRECT?

a. Because of tax effects, an increase in the risk-free rate will have a greater effect on  the after-tax cost of debt than on the cost of common stock as measured by the  CAPM.

b. If a company's beta increases, this will increase the cost of equity used to calculate  the WACC, but only if the company does not have enough reinvested earnings to  take care of its equity financing and hence must issue new stock.

c. When calculating the cost of preferred stock, companies must adjust for taxes,  because dividends paid on preferred stock are deductible by the paying  corporation.

d. Higher flotation costs reduce investors' expected returns, and that leads to a  reduction in a company's WACC.

e. When calculating the cost of debt, a company needs to adjust for taxes, because  interest payments are deductible by the paying corporation.

And the correct answer is "e. When calculating the cost of debt, a company needs to adjust for taxes, because  interest payments are deductible by the paying corporation.".

When calculating the cost of debt issuance, the company, in addition to taking into account the issuance costs, must calculate the cost adjusted for taxes because interest payments are deductible for debt issuing companies.

4 0
3 years ago
Tasty Doughnuts has computed the net present value for capital expenditure at two locations. Relevant data related to the comput
Kay [80]

Answer:

0.95 and 1.06

Explanation:

The computation of the present value index is shown below:

Present value index = Present Value of net cash Flow ÷ Amount invested

So for each projects, it would be

Particulars                                         Des Moines             Cedar Rapids

Total present value of

net cash flow (A)                                  $712,500                $848,000

Amount invested (B)                            $750,000              $800,000

Present value index (A ÷ B)                   0.95                          1.06

4 0
3 years ago
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