Answer:
15.57%
Explanation:
The WAAC (Weighted average cost of capital) is given by:
Where M is the rate to maturity of the company's bonds, Wd is the fraction of debt, We is the fraction of equity, T is the tax rate, and E is the rate of cost of common equity. Applying the given data:
The company’s cost of common equity is 15.57%.
Explanation:
Accrued salaries expense would be the expense that has been incurred but it is yet to be paid. Precisely, it is the outstanding expense that is unpaid.
The student worked from July 28 (Monday) till August 1 (Friday). The books are closed on 31st July. Thus, the company would record accrued salaries for the last four days of the month i.e., 28th, 29th, 30th and 31st July (Monday - Thursday).
No. of days unpaid = 4
Pay per day = $200
Accrued salaries = $200×4
Accrued salaries = $800
The journal entry to record the accrued salaries would be:
Answer:
Monopolist can charge a higher price from women.
Explanation:
A monopolist is producing 100,000 units of a product.
The price of the product is $5 per unit.
The price elasticity of demand for men at this price is -3.5.
The price elasticity for women, on the other hand, is -0.8.
This means that the men have a relatively elastic demand for the product. While on the other hand, women have relatively inelastic demand. This implies that if the price is increased the demand from women will not change by a greater proportion.
While demand from men can change to a greater proportion because of a change in price.
In this situation, the firm can charge a higher price from women. This is an example of third-degree price discrimination.
When collective decision making is utilized to resolve economic questions regarding the allocation of resources, the role of markets will be replaced by political decision making.
What is a collective decision?
When two or more individuals analyze, choose, or use a good or service, collective decision-making is taking place. Members participate in the decision-making process in both families and organizations in a variety of ways.
How do economists solve the problem of scarce resources?
The government decides what to produce and allocates the resources according to its decisions. Another method the governments use to solve the problem of scarcity is by raising prices, but they must make sure that even the poorest consumers can afford to buy it.
Learn more about scarcity of resources: brainly.com/question/17766279
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