Answer:
$160
Explanation:
her net monthly take home pay will be reduced by $200 x (1 - combined tax rate = $200 x (1 - 20%) = $200 x 0.8 = $160
If instead of contributing to her 401k account, Betty took the money home, she would have to pay $40 in taxes (both state and federal), so the net amount that she receives is reduced by the taxes that she pays.
Answer:
<em>a. 22.64%</em>
Explanation:
At first we are going to need to compute the Internal rate of return(IRR) (in which the current value of inflows = the current value of outflows)
Let's let the IRR be <em>x percent</em>
Therefore $4,500 = $750 / (1.0x)
+ $1,000 / (1.0x) <em>power 2</em> + $850 / (1.0x) <em>power 3 </em>
+ $6,250 / (1.0x) <em>power 4</em>
Thus, x = approximate return rate = <em>22.64 percent</em>
Answer:
Answer of each requirement is given seperatly below.
a What is the value of Siebel using the DCF method?
Value under DCF = CF * (1+growth rate)/ (WAAC" -Growth rate)
Putting values (assuming after tax earning is all in cash)
Value of SI = 25 (1+6%)/ 20%-6% = 189 million dollars
"WAAC calculation
Here WAAC is equal to cost of equity (ke) as company is debt free.
so
Ke = risk free rate + beta (risk premium)
= 5 + 2.5 (6) = 20%
b What is the value using the comparable recent transactions method?
Based on recent tansaction the value of siebel incorporated will be calculated as shown below
Value of SI = Profit afte * 10 = 25 * 10 = 250 million dollars
Publicly-traded Rand Technology, a direct competitor of Siebel's sale is taken as bench mark.
c What would be the value of the firm if we combine the results of both methods?
By combining value of both value technique we get 189 + 250 = 439 million dollars.
Answer:
Hie, there is <em>no correct answer</em> from the Options provided.
The Net Profit Under absorption costing, for November would be $7,460.
This is can be calculated from reconciling the Variable Costing profit to Absorption Costing profit or Alternatively from Preparing Absorption costing statement as shown below:
<u>Absorption Costing Income Statement for November.</u>
Sales 765,000
Less Costs of Goods Sold
Opening Stock (8,650×14) 121,100
Add Cost of Manufacture (35,120×14) 491,600
Less Closing Stock (1270×14) (17,780) 594,920
Gross Profit 170,080
Less Expenses
Variable selling expense 127,500
Fixed Selling and administrative 35,120
Net Income / loss 7,460
<u>Answer:</u> Option 1 and Option 5
<u>Explanation:</u>
In mixed economies under the government regulation most of the production is done by private ownership. There is very little government intervention. The main aim of the government intervention is to make sure that the private business activities comply with the law of the country.
Another result of government regulation is to control the externalities created by these business structures. Government ensures there is no externality which affects the market as well as the people. Due to these regulations there is no advantages for producer or government. Also the markets cannot be controlled with these regulations in mixed market economy.
