Answer: C. interest expense will not be a constant dollar amount over the life of the bond.
Explanation:
When a bond is sold at a discount, the discount will have to be amortized over the life of the bond to ensure that it reaches par at maturity.
As a result, the interest expense will be based on a larger figure every year which would mean that it would have to be larger each time. t will therefore not be a constant dollar amount over the life of the bond.
Answer:
I thinks it's gross national income
Explanation:
I am guessing
11.55% is the weighted average cost of capital for these funds
Explanation:
Firm has 76000000 in debt and 100000000 in equity. Thus the proportion of debt =
= 76000000/(76000000 + 100000000)
= 43.18%
and proportion of equity = 1 - 43.18% = 56.82%
Therefore, WACC = 0.4318 * 6.1 + 0.5682 * 15.7
= 11.55%
Answer:
A. elective surgery due to its lower marginal utility per dollar of expenditure.
Explanation:
As there is non essential elective surgeries, as from government's point of view since it is non essential that is not required and not utilized by major citizens of the country, and since there is requirement of budget cut-down. The government shall remove elective surgery.
as the amount of expenditure involved in these surgeries is also high and the resulting utility for each surgery is really low, it shall be removed.