Name some cool crome book games

. El Capitan Foods has a capital structure of 36% debt and 64% equity, its tax rate is 35%, and its beta (leveraged) is 1.4. Bas

almond37 [142]

Answer:

The firm's unleveraged beta is 1.0251

Explanation:

Hamada's equation is used to separate the financial risk of a levered firm from its business risk.

The Hamada equation:

Bu= Bl/(1 + (1 − T)(D/E))

Bl = 1.4

wd = 0.36

Tax rate = 35%

D/E = wd / (1 – wd) = 0.5625 = 56.25%

= 1.4/ (1+(1-0.35)(0.5625))

=1.4/ 1 + (0.65)(0.5625)

=1.4/1.36

= 1.0251

5 0

3 years ago

Leno Company sells goods to the Fallon Company for $10,000. It offers credit terms of 2/10, n/30. If Fallon Company pays the i

Zinaida [17]

Answer:

Leno Company will record a debit to Cash in the amount of: D. $9,800

Explanation:

The terms of 2/10, n/30 means 2% discount for the payment within 10 days and the full amount to be paid within 30 days.

Fallon Company pays the invoice within the discount period - early enough to receive a 2% discount. The discount amount is 2% x $10,000 = $200.

On the other hand, Leno Company has to offer a 2% discount to Fallon Company. Cash amount Leno Company receives = $10,000 - 2% x $10,000 = $9,800

Leno Company will record a debit to Cash in the amount of $9,800

6 0

3 years ago

Unit Elastic is elasticity where a change in the independent variable (usually price) generates a proportional change of the dep

elixir [45]

Answer:

The statement is true.

Explanation:

Unit elastic is described as the demand or supply curve that is perfectly responsive to the changes in the price. In other words, the demand or the quality supplied will change or vary in accordance with the same percentage as the change in price.

The curve which has elasticity of 1 will be called as unit elastic.

5 0

2 years ago

A decision in which a manager needs to determine whether a product line (or segment) should continue or be eliminated is what ki

Marianna [84]

Answer:

Keep-or-drop decision

Explanation:

Keep-or-drop decision is taken when a manager is in a dilemma whether to continue a product line or segment or shut it down. The manager needs to analyse income statement related to the product line to understand the major issue with product line. If costs are more than revenue, then the product line needs to be shut down. If the reasons for incurring losses can be addressed and that revenue from the product line is more, then it is not dropped.

Therefore, manager takes a keep-or-drop decision.

7 0

2 years ago

An investment project has annual cash inflows of $4,300, $4,000, $5,200, and $4,400, for the next four years, respectively. The

xeze [42]

Answer:

1.64 years

2.27 years

3.13 years

Explanation:

Discounted payback calculates the amount of time it takes to recover the amount invested in a project from it cumulative discounted cash flows

Present value of cash flow in year 1 = 4300 / 1.13 = 3805.31

Amount recovered in year 1 = -5800 + 3805.31 = -1994.69

Present value of cash flow in year 2 = 4000 / (1.13^2) = 3132.59

Amount recovered in year 2 =-1994.69 + 3132.59 = 1137.90

Payback period = 1 + 1994.69/3132.59 = 1.64 years

B

Present value of cash flow in year 1 = 4300 / 1.13 = 3805.31

Amount recovered in year 1 = -7900 + 3805.31 = -4094.69

Present value of cash flow in year 2 = 4000 / (1.13^2) = 3132.59

Amount recovered in year 2 = -4094.69 + 3132.59 = -962.10

Present value of cash flow in year 3 = 5200 / (1.13^3) = 3603.86

Amount recovered in year 3 = -962.10 + 3603.86 = 2641.76

Payback period = 2 years + -962.10 / 3603.86 = 2.27 years

C

Present value of cash flow in year 1 = 4300 / 1.13 = 3805.31

Amount recovered in year 1 = -10900 + 3805.31 = -7094.69

Present value of cash flow in year 2 = 4000 / (1.13^2) = 3132.59

Amount recovered in year 2 = -7094.69 + 3132.59 = -3962.10

Present value of cash flow in year 3 = 5200 / (1.13^3) = 3603.86

Amount recovered in year 3 = -3962.10 + 3603.86 = -358.24

Present value in year 4 = 4400 / (1.13^4) = 2698.60

Amount recovered in year 4 = -358.24 + 2698.60 = 2340.36

Payback period = 3 years + 358.24 + 2698.60 = 3.13 years

7 0

2 years ago