1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
barxatty [35]
3 years ago
14

The Gable Inn is an all-equity firm with 16,000 shares outstanding at a value per share of $14.50. The firm is issuing $50,000 o

f debt and using the proceeds to reduce the number of outstanding shares. How many shares of stock will be outstanding once the debt is issued
Business
1 answer:
sukhopar [10]3 years ago
4 0

Answer:

12,552 shares

Explanation:

Data provided:

Initial outstanding shares of the firm = 16,000 shares

Value of each share = $14.50

Debt issued = $50,000

Now,

the number of shares used for issuing for $50,000 debt

= Debt issued / value of each share

on substituting the respective values, we have

the number of shares used for issuing for $50,000 debt

= $50,000 / $14.50

= 3448.27 ≈ 3448 shares

Now,

The shares of stock that are outstanding once the debt is issued =

= Initial outstanding shares -  shares used for issuing for $50,000 debt

= 16,000 - 3448

= 12,552 shares

You might be interested in
Kevin has $20 to spend on summer clothes. He is looking at shirts, shorts, and flip-flops. Shirts are $10, shorts are $15, and f
rusak2 [61]
A the opportunity cost $10 the benefits is that he now has a shirt
5 0
3 years ago
quizlet uruguay was the first country in the world to legalize and regulate the production, supply, and recreational use of cann
exis [7]

Uruguay was the primary usa inside the global to legalize and regulate the Production, delivery, and leisure use of hashish. TRUE

Production is the system of manufacturing items and services to satisfy human needs. The product is the end result of the method. The 4 elements of manufacturing are land, capital, labour, and business enterprise. An instance of production is the manufacturing of motors. motors are made by way of assembling elements together. as an example, rubber tires are brought to metal our bodies to make seats installed earlier than the automobile is pushed off the manufacturing line.

“Production is the organized interest of remodeling resources into finished merchandise in the form of products and offerings; the objective of manufacturing is to fulfill the call for such converted sources”.production is one of the most vital procedures inside manufacturing, and is a middle part of what it approaches to be a manufacturer. without this activity, no completed items would be created, and there would be not nothing to promote to clients.

Learn more about Production here:

brainly.com/question/16755022

#SPJ4

8 0
1 year ago
Which statement about game rules is NOT true? A. Without rules, there is no competition. B. Competitors should accept penalties
Stels [109]

Answer:

It’s D

Explanation. Nothing Ik it’s it

7 0
3 years ago
Read 2 more answers
Kaiser Industries has bonds on the market making annual payments, with 14 years to maturity, a par value of $1,000, and selling
9966 [12]

Answer:

The Coupon rate is 11.66%

Explanation:

Yield to maturity is the annual rate of return that an investor receives if a bond bond is held until the maturity.

Face value = F = $1,000

Selling price = P = $1,382.01

Number of payment = n = 14 years

Bond Yield = 7.5%

The coupon rate can be calculated using following formula

Yield to maturity = [ C + ( F - P ) / n ] / [ (F + P ) / 2 ]

7.5% = [ C + ( $1,000 - 1,382.01 ) / 14 ] / [ ( $1,000 + $1,382.01 ) / 2 ]

7.5% = [ C - $27.29 ] / $1,191

7.5% x $1,191 = C - $27.29

$89.33 = C - $27.29

C = $89.33 + $27.29 = $116.62

Coupon rate = $116.62 / $1,000 = 0.11662 = 11.66%

4 0
3 years ago
What is the main difference between a generic market and a product market
Yuri [45]

Answer:

The main difference between a generic market and a product-market is that: a generic-market involves a less similar set of needs than does a product-market. A basic difference between a "generic market" and a "product-market" is: how similar the competing sellers' products are.

Explanation:

7 0
2 years ago
Other questions:
  • According to Twitter’s amended S-1 filed November 4, 2013, what were the estimated amounts of net proceeds to be received by the
    12·1 answer
  • Nate, a production worker in a doll manufacturing plant, recently changed positions on the manufacturing line from painting the
    10·1 answer
  • OFUNILS
    14·1 answer
  • Julio is devising a marketing plan for introducing his company's products into a new market. julio comes up with customized mark
    5·1 answer
  • A one-brand-name strategy should be adopted when the name cannot be pronounced in the local language, when the brand name is own
    13·1 answer
  • In general, term loans can be created more quickly than bond issues because they (1) tend to be negotiated directly with the len
    14·1 answer
  • When choosing between mutually exclusive projects, what is the best method to use?
    12·1 answer
  • Sources of consumer information might include ____.
    9·1 answer
  • The responsibility for evaluating new technologies, new ideas, and new capabilities and identifying those that are most relevant
    14·1 answer
  • in many large u.s. cities, taxicabs operate as near monopolies because of: patents. licenses. economies of scale. control of ess
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!