Answer:
d. Debt holders get $0 mil. under the unlevered plan vs. 0.6075 mil. under the levered plan
Explanation:
interests paid to debt holders = $13,500,000 x 10% = $1,350,000
generally, interest revenue is taxed as ordinary revenue = corporate income tax rate (if debt holder is a business) or personal income tax (if debt holder is an individual).
under the first plan, debt holders get nothing because there is no outstanding debt since the company is an all equity firm.
under the second plan, if the personal tax rate on interest income is 55%, which is really high, the debt holders will earn $1,350,000 x (1 - 55%) = $607,500
Answer:
This policy would likely make Doomsville's recession worse.
Explanation:
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Answer:
Explanation:
interest rates on a three-year bond =(int in year1+int in year2+int in year3)/n = (3+4.5+6)/3 =4.8%
interest rates on a six-year bond = (3%+4.5%+6% +7.5%+ 9%+ 10.5%)/6 = 7.35%
interest rates on a nine-year bond = (3%+4.5%+ 6%+ 7.5%+ 9%+ 10.5%+ 13%+ 14.5%+16%)/9 =10.23%
So, int rate on a 3 year bond is 4.8%; on a 6 year bond is 7.35%; on a 9 year bond 10.23%
It determines wether or not you are ready for college-level studies or if you'll need a few more preparatory classes.
When leading a group project the most rising problem is deadlines and team coordination this can be handled by effective communication.
<h3>What is a group?</h3>
A group is referred to as a collection of people who come together to form a relationship or connection with each other. These groups mainly form to perform collaborative activities to achive something.
Working in a group was quite difficult as every individual have own perspective which causes differences of opinion and disagreement within the group.
This agreement can be solved by building effective communication and better relationships with group members in order to achieve the goal.
This will be helpful in the Restaurant business by dealing with customers and timely delivery of the demanded dish or service to them.
Learn more about communication, here:
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