Answer:
WACC is 9%
Explanation:
WACC is the average cost of capital of the firm based on the weightage of the debt and weightage of the equity multiplied to their respective costs.
According to WACC formula
WACC = ( Cost of equity x Weightage of equity ) + ( Cost of debt ( 1- t) x Weightage of debt ) + ( Cost of Preferred equity x Weightage of Preferred equity )
As per given data
Market Values
Equity = $7 billion,
Preferred stock = $2 billion
Debt = $13 billion
Cost
Equity
Capital asset pricing model measure the expected return on an asset or investment. it is considered as the cost of common stock.
Formula for CAPM
Cost of Equity = Risk free rate + beta ( market return - risk free rate )
Cost of Equity = Rf + β ( Mrp )
Cost of Equity = 3% + 1.6 ( 8% ) = 15.8%
Preferred stock = $2 / $26 = 0.077 = 7.7%
Debt = 8%
Placing values in the formula
WACC = ( 15.8% x $7 billion / $22 billion ) + ( 8% ( 1- 0.3) x $13 billion / $22 billion ) + ( 7.7% x $2 billion / $22 billion )
WACC = 5.03% + 3.31% + 0.7% = 9.04%
Answer:
a. $28
b. $19
c. 800 watches
Explanation:
The equation is
p = D(q) = 28 - 2.25
The equation of the demand would be
P = 28 - 2.25q
a. The price would be
= $28 - 2.25 × 0
= $28 - 0
= $28
b. The price would be
= $28 - 2.25 × 4
= $28 - 9
= $19
The quantity demanded is come in hundreds so we take only 4
c. The quantity woul dbe
$10 = $28 - 2.25q
$10 - $28 = -$2.25q
-$18 = -$2.25q
So q would be
= 800 watches
The increasing cost and volatile prices of natural resources is a key driver of sustainable marketing. the increasing cost and volatile prices of natural resources are key drivers of sustainable marketing. False
Sustainable marketing is the promotion of environmentally and socially accountable merchandise, practices, and brand values. if you've ever spent a touch bit greater on something due to the fact you knew it turned into domestically sourced or 100% recyclable, you've got experienced sustainable advertising.
As an example, if clients value a product's residences, the organization can also market the product as being crafted from recycled substances. If customers recognize a product's capacity to save them time, the enterprise may additionally market the product as being easy to apply and time-saving.
Learn more about Sustainable marketing here:
brainly.com/question/29650179
#SPJ4
Answer:
In economics, nominal value refers to the current monetary value and does not adjust for the effects of inflation
Explanation:
Answer:
Explanation:
We shall apply the concept of coefficient of variation to know the consistency of data
coefficient of variation
= standard deviation / mean or average
In case of City A
coefficient of variation = 86 / 820
= .1048
In case of City B
coefficient of variation = 75 / 790
= .0949
Since it is less for city B , rent for this city is more consistence or with less of variation
So the conclusion is false.