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Savatey [412]
3 years ago
14

J&R Renovation, Inc., is trying to determine its cost of debt. The firm has a debt issue outstanding with 16 years to maturi

ty that is quoted at 106 percent of face value. The issue makes semiannual payments and has a coupon rate of 6 percent annually.What is the company’s pretax cost of debt?
If the tax rate is 35 percent, what is the aftertax cost of debt?
Business
1 answer:
g100num [7]3 years ago
6 0

Answer:

After tax cost of debt = 5.44*(1-0.35)% = 3.54%

Explanation:

PV = 106

PMT = 6/2 =-3

N = 16*2 = 32 semi annual

FV = -100

Semi annual yield = 2.72%

Annual cost of debt = 2.72%*2 = 5.44%

After tax cost of debt = 5.44*(1-0.35)% = 3.54%

Using Rate function in Excel or Financial calculator

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Which of the following are recommended ways to learn more about IT careers? Check all of the boxes
Snowcat [4.5K]

Answer:

  • scheduling an appointment with a career counselor at a school
  • attending an informational session
  • applying for an internship
  • contacting a professional organization, such as CompTIA

Explanation:

To learn more about IT careers or just carriers in general, one can contact the Career counselor at school. Their job is to help students find out more abut careers so that they know which path they would like to follow.

One can also attend information sessions where they can listen to people speak on IT careers and ask questions they would like answers to as well.

A practical way to find out about IT careers is to intern at an IT firm. This way you get to see first hand what the job entails and if it is the kind of thing you would like to do.

There are also professional organizations that offer certifications in IT such as CompTIA. As they are well versed in the area, they can provide more information on IT careers including the educational background required.

3 0
2 years ago
Malinda's auto dealership of imported cars made $895,000 in revenue. The manager has determined that the total expenses equal to
jarptica [38.1K]

Answer:

Profits: $297,000

Explanation:

Revenue is the money generated by a business by selling its products and services to customers. Expenses are the cost incurred in the production and selling of goods and services.

Profits arise when revenues exceed expenses.

For Malinda Auto dealership, the revenue ($895,000) exceed expenses($598,000). Therefore, the business will realize a profit.

Profit = revenue - expenses

=$895,000 -$598,000

=$297,000

8 0
2 years ago
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ivanzaharov [21]
C demographic research 
5 0
3 years ago
Read 2 more answers
Which form of business ownership is the most complex and difficult to form, and why?
Finger [1]
Honestly I would say being an entrepreneur is the most complex and difficult to form, especially if you're trying to build from the ground up it can take a matter of 4-5 maybe more years, this isn't a "answer" ore of an "opinion." 

Hope this helped though! 
6 0
3 years ago
Anna Jonas owns a manufacturing firm in Indonesia and strongly believes that it is important that​ workers' rights be respected.
Lisa [10]

Answer: cognitive dissonance

               

Explanation: Cognitive dissonance takes place in the fields of psychology when an individual holds two or more irrational beliefs, concepts, or principles, or takes part in a motion that runs counter to any of these three and thereby perspectives mental stress.

Inconvenience is caused by an individual's belief that conflicts with new interpreted proof (statistics) in which they attempt to take steps to address the inconsistency in order to minimize their distress.

In simple words, The concept behind cognitive dissonance shows that people find psychological continuity regarding their life span and the earth's objective reality.

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3 years ago
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