Answer:
weighted average cost of capital = 13.10%
Explanation:
given data
Debt = 35%
Preferred stock = 15
Common equity = 50
cost of debt = 9 percent
cost of preferred stock = 13 percent
cost of common equity = 16 percent
to find out
Weighted Average cost of capital
solution
we get here weighted cost of each source of capital that is
Weighted Cost of Debt = 0.35 * 9% = 3.15 % ....................1
Weighted Cost of Preferred Stock = 0.15 * 13% = 1.95% .........2
Weighted Cost of Common Stock = 0.50 * 16% = 8 % ..............3
so
so weighted average cost of capital will be
weighted average cost of capital = 3.15 % + 1.95% + 8 %
weighted average cost of capital = 13.10%
Answer:
b. decrease in the demand for the good.
Explanation:
An inferior good is a good whose demand falls when income increases and rises when income decreases.
A decrease in demand would lead to a leftward shift of the demand curve.
Inferior goods contrasts to a normal good. A normal good is a good whose demand increases when income rises and falls when income reduces.
Only a change in the price of a good leads to movement along the demand curve for that good.
I hope my answer helps you
Answer:
A schedule of cash payments for April, May, and June is prepared.
Explanation:
The following image shows the calculation and explanation of the cash payment schedule.
Answer:
(a) Purchased supplies on account.
Increase assets and liabilities
(b) Received cash for providing a service.
Increase assets and equity
(c) Expenses paid in cash.
Decrease assets and equity
Explanation:
(a) The company acquire an assets but to do so; it take a liability. In the future it will be forced to pay the credit given today
(b) The company receive an assets(cash) by prvoviding services which is the main activity. The equity represebt both, the owner investment and the earning of the business. In this case this is an earning so it increase equity
(c) The rgannizatioon used an asset to afford their obligation. This is a negative result thus; equity decrease
Answer: Limited Liability
Explanation: Business owners' liability for debts is restricted to the amount they put into the business.
