Answer:<em> </em><em>Therefore, the cost of preferred stock is </em><em>17.72%.</em>
Given:
Selling price (preferred stock) = $21
Annual dividend = 3.5%
Flotation costs = $1.25
We can compute the cost of preferred stock as:
Cost of preferred stock = 3.5 / ($21 - $1.25)
Cost of preferred stock = 17.72%
<u><em>The correct option is (b)</em></u>
Answer:
underprovide; overprovide
Explanation:
A good has positive externality if the benefits to third parties not involved in production is greater than the cost. an example of an activity that generates positive externality is research and development. Due to the high cost of R & D, they are usually under-produced. Government can encourage the production of activities that generate positive externality by granting subsidies.
A good has negative externality if the costs to third parties not involved in production is greater than the benefits. an example of an activity that generates negative externality is pollution. Pollution can be generated at little or no cost, so they are usually overproduced. Government can discourage the production of activities that generate negative externality by taxation
The correct answer to this question is $1250. To prove this, an image is attached together with this answer.
<span>The 2016 repayment limitation for a single taxpayer who has income at a 350% poverty level is $1250. Based on the image, it shows that at the line of
at least 300% but less than 400%, the repayment limit of single tax payer is $1250.</span>
Answer:
(D) higher prices lead to higher profit and higher output.
Explanation:
When the price increase, the profitability of the firm increase, therefore firm produces more at high price. Hence at high price output increase. This is the reason why SRAS curve is positively sloped.
Answer:
C. Jayda may choose to trade the corporation’s shares as common stock.
Explanation:
