Answer:
The correct answer is letter "D": incorrect because all inputs are varied in the example.
Explanation:
The law of Diminishing Marginal Productivity states that increasing one variable will keep the others the same. My initially increase output but eventually adding more of that one variable may lead to a diminishing rate of return. The law helps explain why increasing production is not always the best way to increase profits.
The law of Diminishing Marginal Productivity only applies when certain inputs are fixed, but in this example, the amount of labor available varies since it is increasing.
Answer:
a. Mullineaux's WACC = 0.60*12 + 0.05*5 + 0.35*7*(1 - 0.35)
WACC = 7.2 + 0.25 + 0.35*7*0.65
WACC = 7.2 + 0.25 + 1.5925
WACC = 9.0425%
WACC = 9.04%
b. After tax cost of debt = 7*(1 - 0.35)
After tax cost of debt = 7*0.65
After tax cost of debt = 4.55%
So since after tax cost of debt of 4.55% is less than the preferred cost of 5%, company should use debt in its capital structure.
Answer:
C. $12,500
Explanation:
Please keep in mind that, annual depreciation expense is caluclated as below:
Depreciation expenses = (Original cost - Salvage value)/Expected useful life
Putting all the number together, we have:
Depreciation expenses = (90,000 - 15,000)/6 = 12,500.
So the correct answer is C. $12,500
Here is the answer that would best complete the given statement above. <span>When marketers strive to get their customers the merchandise they want, when they want it, in the required quantities, and at a lower delivered cost than that of their competitors, they are hoping to achieve a sustainable competitive advantage through OPERATIONAL excellence. Hope this helps.</span>
Answer:
Modify Your Auto Loan.
Refinance Your Vehicle Loan.
Trade-in Your Car.
Let Someone Else Assume Your Loan.
Sell Your Vehicle.
Turn the Keys In.
Let Your Car Be Repossessed.
File for Bankruptcy.