All categories

3 years ago

Lucy wants to attach a goal cost to each of her life goals. why might she do this?

1 answer:

7 0

She most likely wanted to do this to keep track of her budgeting.

By counting the cost of each of her goals, she will know exactly how much she has to earn and how much work she has to do in order to fulfill all of her Goals

hope this helps

You might be interested in

Targaryen Corporation has a target capital structure of 65 percent common stock, 5 percent preferred stock, and 30 percent debt.

Juli2301 [7.4K]

Answer:

a. What is the company’s WACC?

R_Wacc = 13% (65%) + 5% (5%) + 6% (30%) * (1-0,25) = 10,05%

b. What is the aftertax cost of debt?

The aftertax cost of debt is:

R_Debt : (1 - 0,25) x 6% = 4,50%

Explanation:

The WACC it's defined by the formula :

WACC: E/V*Re + D/V*Rd *(1-0,25)

Re: 13,00% Cost of Common Equity

Re: 5,00% Cost of Preferred STOCK

Re: 6% Cost of Debt

E/V: 65% Percentage of financing that is Common Equity

PS/V: 5% Percentage of financing that is Preferred Stock

DB/V: 30% Percentage of financing that is Debt

Tax: 25% Corporate tax rate

Now we have all of the components to calculate the WACC.

The WACC is:

R_Wacc = 13% (65%) + 5% (5%) + 6% (30%)*(1-0,25) = 10,05%

The aftertax cost of debt is:

R_Debt : (1 - 0,25) x 6% = 4,50%

5 0

3 years ago

Which of the following statements best explains the purpose of advertising?

VMariaS [17]

Answer:

B. Advertising is about buying the attention of an audience of potential consumers. I hope this helps. :)

Explanation:

7 0

3 years ago

The laffer curve makes the point that cutting a very high marginal tax rate can __________ the tax base enough so that tax reven

Ivenika [448]

<span>The laffer curve makes the point that cutting a very high marginal tax rate can raise the tax base enough so that tax revenues actually rise. The Laffer Curve is a theory that was developed by Arthur Laffer. The theory explains the relationship between tax rates and how much tax revue the government creates. </span>

8 0

3 years ago

The Sisyphean Company is considering a new project that will have an annual depreciation expense of $ 4 million. If Sisyphean's

vazorg [7]

Answer: $1.4 million

Explanation: As, in the given case we need to compute the depreciation tax shield, we will use marginal corporate tax rate instead of average corporate tax rate as it will result in additional savings to the company in the form of taxes it paid.

Thus, shield amount can be computed as follows :-

($4,000,000) * (35%) = $1,400,000

3 0

3 years ago

A firm produces two goods q1 and q2. for economies of scope to occur, it must be true that:

Oliga [24]

For economies of scope to occur it must be true that THE COST OF PRODUCING THE TWO GOODS TOGETHER IS LESS THAN THE COST OF PRODUCING THE GOODS SEPARATELY.
The economy of scope is the proportionate savings that is gained by producing two or more different goods together, when the cost of doing so is less than that of producing each separately.

5 0

3 years ago