Answer:
Interest rate= 17.3% per five years
Explanation:
Giving the following information:
A start-up company that makes robotic hardware borrowed $1.3 million.
The contract required the company to repay the lender through an innovative mechanism called "faux dividends," a series of uniform annual payments over a fixed period of time. The company paid $305000 per year for five years.
Interest rate= (305000*5)/1300000= (1.173-1)*100= 17.3% per five years
Answer:
11.35%
Explanation:
The calculation of WACC is shown below:-
WACC = Cost of equity × (equity ÷ (Debt + Equity)) + cost of debt × (debt ÷ (Debt + Equity)) × (1 - tax rate)
= 0.15 × (1 ÷ 1.50) + 0.06 × (0.50 ÷ 1.50) × (1 - 0.34)
= 0.15 × 0.67 + 0.06 × 0.33 × 0.66
= 0.1005 + 0.013068
= 11.35%
Therefore for computing the WACC we simply applied the above formula.
Answer:
$12,500
Explanation:
Calculation for the total amount removed from Joshua’s estate in 2017
Since we were told that In 2016, Joshua gave the amount of $12,500 to his son in which in the same year which was 2017, the XYZ shares are worth the amount of $25,000 which means that the total amount removed from Joshua’s estate in 2017 will be $12,500 ($25,000-$12,500).
Answer:
$29
Explanation:
The computation of the more profit or loss via processing one batch of sugar to the end products is shown below:
= Total sale in the case when it is processed further - processing cost
where,
Total sale in the case when it is processed further is
= $86 + $134
= $220
And, the processing cost is
= $91 + $17 + $38 + $45
= $191
So, the profit is
= $220 - $191
= $29
Answer:
Products D and E should be processed further while product F should be sold at the split off point
Explanation:
Product D E F
$ $ $
Sales at the split off point 10.30 11.40 19.80
Sales after split off point <u>14.90 15.80 22.20</u>
Additional sales per unit 4.6 4.4 2.4
Units sold(units) <u> ×4540 × 6,410 ×1750
</u>
Additional sales revenue 20,884 28204 4200
Further processing cost <u>(14,824)</u> <u>(20,554)</u> <u> (7,520)</u>
Incremental income or (loss) <u>6,060 </u> <u> 7,650</u> <u> (3320
)</u>
Products D and E should be processed further while product F should be sold at the split off point