Answer:
$1,310 million
Explanation:
The computation of the stock value as per the gordan model is as follows:
Value = (FCFF × (1 + growth rate)) ÷ (required rate of return - growth rate)
where,
required rate of return or WACC is
= Cost of debt × (1 - tax rate) × weight of debt + cost of equity × weight of equity
= 12.5% ×(1 - 0.35) × 800 ÷ (800 + 400) + 22.5% × 400 ÷ (400 + 800)
= 8.125% × 800 ÷ (800 + 400) + 22.5% × 400 ÷ (400 + 800)
= 8.125% × 66.67% + 22.5% × 33.33%
= 12.9167%
Now the value is
= ($66 × (1 + 0.075) - (12.9167% - 7.5%)
= $1,310 million
Answer:the answer is : bonus and bundle pack
Explanation:
Answer
The answer and procedures of the exercise are attached in the following archives.
Step-by-step explanation:
You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.
Answer: $20500
Explanation:
Bad debt is the amount of money that a credit owes the company and is not willing to be paid hence may not be collected.
The amount that Marigold should record as "bad debt expense" for the year ended December 31, 2020 goes thus:
Bad debt allowance balance needed =
$16700
Add: Bad debt that are written off = $26800
Less: Allowance for doubtful accounts = $23000
Bad debt expense will now be:
= $16700 + $26800 - $23,000
= $43500 - $23000
= $20500
Answer:
1.- $5,000
2.- 15,6415%
3.- 18,8051%
Explanation:
1.- It will be the cost saving of 3,800 and the contribution of $1.2 x 1,000 dozens of donuts sold
2.-Calculate using financial calculator
3.- The cashflow increases because there is more money at the end of the line, so the IRR increase as well