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zepelin [54]
3 years ago
13

Suppose Boyson Corporation's projected free cash flow for next year is FCF1 = $150,000, and FCF is expected to grow at a constan

t rate of 6.5%. If the company's weighted average cost of capital is 11.5%, what is the firm's total corporate value? a. $2,572,125 b. $2,707,500 c. $2,850,000 d. $3,000,000 e. $3,150,000
Business
1 answer:
bearhunter [10]3 years ago
8 0

Answer:

The total corporate value of the firm is $3,000,000

Explanation:

The total corporate value of the firm is computed as:

Total corporate value = FCF1 / (average cost of capital - Growth rate)

Where

FCF1 is $150,000

Growth rate is 6.5%

average cost of capital is 11.5%

Putting the values :

= $150,000 / (11.5% - 6.5%)

= $150,000 / 5%

= $3,000,000

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On January 1, a company issued a $50,000 face value, 8% five-year bond for $46,139 that will yield 10%. Interest is payable on J
sammy [17]

Answer: B. 46,768

Explanation: Completing an amortization table would allow us find for the present year the bond carrying amount.

The face amount of the bond multiplied by the coupon rate gives the interest payment. This payment adjusted for the number of installments paid per year is $2,000 which is given by:

50,000 × (8/2)% interest (half the year).

Interest expense is calculated as the effective rate of 5% multiplied by the beginning of the year's carrying value. The difference between the interest payment and interest expense give the amortization of discount.

Carrying Value: 46,139 (A) Value at 1/1/X1

Cash: 2 ,000 &n bsp; (50,000 x .04) (B) Never Changes

Expense: 2,30 6.95 (46,139 x .05) (C)

(B - C) -306.95 (D)

(A - D) 46,445.95 (Carrying Value at 6/30/X1)

----------------

Carrying Value: 46,445.95 (A) Carrying Value at 6/30/X1

Cash: 2,000.0 0 (50,000 x .04) (B) Never Changes

Expense: 2,322.30 (46,445.95 x .05) (C)

(B - C): -322.30 (D)

(A - D): 46,768.25 (Carrying Value at 12/31/X1

5 0
3 years ago
a security analyst has identified malv/are spreading through the corporate network and has activated the csirt which of the foll
ozzi

A security analyst has identified malware spreading through the corporate network the next thing analyst do is Create help desk tickets to get infected systems reimaged.

<h3>Security analyst :</h3>

He/she works cross-functionally to identify and fix failures in the company's security her systems, solutions, and programs, and recommends specific actions that can improve the company's overall security posture. An Information Security Analyst monitors computer her infrastructure and networks to protect them from threats. Your duties may include maintaining file access and credentials, and finding vulnerabilities in modern systems.

<h3>Malware :</h3>

Malware is software that interferes with a computer, server, client, or computer network, discloses personal information, gains unauthorized access to information or systems, denies access to information, or unknowingly interferes with computer security. and software designed to violate user privacy.

Learn more about security analyst :

brainly.com/question/13179611

#SPJ1

8 0
11 months ago
Another name for back rushing is?
zhenek [66]

Answer:

Ruffing

Hope this helps!!!

6 0
2 years ago
Using the following information, determine the location quotient for Motor City: employment in motor vehicle manufacturing withi
ValentinkaMS [17]

Answer:

15.7

Explanation:

In this question we have the following information

Employment in Motor Vehicle manufacturing within city = 12643

Total employment in motor city = 560379

Total individual employment = 152750

Total employment = 106201232

We get the location quotient as

(12643/560379)/152750/106201232

0.02256/0.001438

= 15.69

This is approximately

15.7

Therefore the location quotient = 15.7

7 0
3 years ago
Flavio, CEO of Fabulous Frozen Custard believes that alternate plans are almost as important as the primary operational plans be
Tanzania [10]

Answer:

D. contingency planning

Explanation:

A contingency plan is a plan that is made to take account of a future occurence or event that might affect the workability or effectiveness of the current plan.

A very simple example of contingency plan is keepin an umbrella with you at all times just incase it starts to rain.

cheers.

5 0
3 years ago
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