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vekshin1
3 years ago
14

Need help asap lol help lol lol

Business
2 answers:
Shtirlitz [24]3 years ago
6 0

Answer:

c obviously

Explanation:

brilliants [131]3 years ago
3 0

C,  because debtors like having narrower debts.

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Spanolia LLC is estimating its WACC. Its bonds have a 12 percent coupon, paid semiannually, a current maturity of 20 years, and
Sav [38]

Answer:

Spanolia LLC

The after-tax cost of debt is:

= 7.20%.

Explanation:

a) Data and Calculations:

Coupon interest rate of bonds = 12%

Maturity period = 20 years

Selling price = $1,000

Firm's marginal tax rate = 40%

After-tax cost of debt = Coupon interest rate * (1 - tax rate)

= 12% * (1 - 0.4)

= 12% * 0.6

= 7.20%

b) Spanolia's after-tax cost of debt is derived by multiplying the cost of debt by the after-tax rate.  The after-tax cost of debt represents the interest that Spanolia LLC pays on the bonds less the income tax savings that it gains because interest expenses are tax-deductible.

7 0
3 years ago
Which of the following tools can the Fed use to contract the money supply? a. To expand the money supply? b. Increasing the disc
Alina [70]

Answer:

See below for details.

Explanation:

To contract the money supply the the Fed can increase the discount rate. This shall increase the cost of borrowing and thus the demand for money should go down. Furthermore, people have more incentive to save as they are getting an increased return thus the overall money supply contracts.

The Fed can also sell short term US securities, this reduces the amount of excess reserves available to banks and restricts their ability to make loans thus contracting the money supply.

The Fed can also raise the reserve requirement which reduces the banks ability to lend loans and create money thus contracting the supply again.

To expand the money supply, The Fed can lower the reserve requirements, creating excess reserves for banks that can be loaned out and thus expand money supply.

The Fed can also buy short term securities for money thus increasing the supply of money in the economy.

Quantitative easing simply increases the money supply with additional currency issuing so this expands the supply.

Decreasing the discount ratios discourage people from saving and encourages borrowing thus creating an expanded supply for money via credit creation.

Hope that helps.

7 0
4 years ago
After major hurricanes like Katrina, many ethical home repair and building supply businesses continue to charge pre-hurricane pr
evablogger [386]

Answer:

The home repair companies and building supplies companies wanted to maintain their long term relationship.

Explanation:

Because the companies were considerate on their pricing after the clients lost their homes, a bond will be formed that has long term value and loyalty to the company.

This is a great strategy to get clients that will stick with the companies for a long time to come.

7 0
4 years ago
The invention of what product skyrocketed the popularity of pecan pie?
Nezavi [6.7K]

Answer:

Karo Syrup

Explanation:

Karo Syrup is delicious on Pecan Pie

3 0
3 years ago
Company sells a product for $ 45 per unit. Variable costs are $ 35 per​ unit, and fixed costs are $ 2 comma 300 per month. The c
worty [1.4K]

Answer:

Instructions are listed below

Explanation:

Giving the following information:

The company sells a product for $ 45 per unit.

Variable costs are $ 35 per​ unit.

Fixed costs are $ 2300 per month.

The company expects to sell 560 units in September.

A) contribution margin per unit= selling price - variable costs

contribution margin per unit= 45 - 35= $10

B) Total contribution margin= contribution margin*units sold= 10*560= $5600

C) contribution margin ratio= contribution margin/ selling price= 10/45= 0.2222

3 0
3 years ago
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