Answer:
a) 9.00 %
b) 7.80 %
c) yes the weight of the debt increases here is more risk in the investment as the debt payment are mandatory and failing to do so result in bankruptcy while the stock can wait to receive dividends if the income statement are good enough
d) 9.00 %
e) The increase in debt may lñead to an increase in return of the stockholders if they consider the stock riskier than before and will raise their return until the WACC equalize at the initial point beforethe trade-off occurs
Explanation:
a)
Ke 0.12
Equity weight 0.5
Kd(1-t) = after tax cost of debt = 0.06
Debt Weight = 0.5
WACC 9.00000%
c)
Ke 0.12
Equity weight 0.3
Kd(1-t) = after tax cost of debt = 0.06
Debt Weight 0.7
WACC 7.80000%
d)
<em>Ke 0.16</em>
Equity weight 0.3
Kd(1-t) = after tax cost of debt = 0.06
Debt Weight 0.7
WACC 9.00000%
Answer:
A career is like a "building block" and a job is like "castle or a tower"
Answer:
Setting goals helps with knowing what to focus on and what to do at work
This helps the employee do better at work because they know exactly what they are going for
Explanation:
Just write a bunch of things about the things I said above like try to go into more detail about them I tried helping but I don’t think I can write 200 words worth of explanation on here
Willow Corp NOL carryover to 2021 (year 4) is $10,000
<h3>How to calculate Willow Corp NOL carryover to year 4</h3>
Carry forward losses:
- Year 1 = $50,000
- Year 2 = $40,000
Total carry forward losses = $50,000 + $40,000
= $90,000
Eligible carry forward loss = $100,000 × 80%
= $100,000 × 0.8
= $80,000
Willow Corp tax liability in year 3 = $100,000 - $80,000 × 21%
= $20,000 × 21%
= 20,000 × 0.21
= $4,200
Willow Corp NOL carryover to year 4 = Total carry forward losses - Eligible carry forward loss
= $90,000 - $80,000
= $10,000
Learn more about tax:
brainly.com/question/25504231
Answer:
The amount of the prepaid portion that is due back to Ashley using the 12 month, 360 day proration is=$362.34
Explanation:
<em>Step 1: Determine HOA per day</em>
Use the expression below to determine HOA per day;
T=H×N
where;
T=total HOA dues per year
H=HOA per day
N=number of days in a year
In our case;
T=$660
H=unknown
N=360 days
Replacing;
660=H×360
360 H=660
H=660/360
H=$1.83 per day
<em>Step 2: Determine amount of HOA that is due back</em>
Using the same expression;
T=H×N
but;
T=unknown
H=$1.83 per day
N=(June, 15 days)+(July, 30)+(Aug, 31)+(Sep. 30)+(Oct 31)+(Nov 30)+(Dec 31)
N=(15+30+31+30+31+30+31)=198 days
Replacing;
T=(1.83×198)=$362.34
The amount of the prepaid portion that is due back to Ashley using the 12 month, 360 day proration is=$362.34
