Answer: The correct answer is "personal taxes lower the value of using corporate debt".
Explanation: A major contribution of the Miller model is that it demonstrates, other things held constant, that: <u>personal taxes lower the value of using corporate debt.</u>
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Answer:
in Texas, the amount of oil and natural gas produced together with the market price determines the amount of tax to be generated.
Answer:
$48.34%
Explanation:
Data provided in the question
Growth rate = 5%
Required return = 12%
Dividend = $8.65
Based on the above information,
The computation of the current price is shown below:-
Current Price = Dividend × (1 + Growth Rate) ÷ (Required Return - Growth Rate)
= $8.65 × (1 + (-5%)) ÷ (12% - (-5%))
= $48.34%
Therefore for computing the current price we simply applied the above formula.
Answer:
a. the purchase is authorized because a quorum was present and a majority of those present approved the action.
Explanation:
going by the bye laws of GHI state, board action requires that majority of the members of the board are present and give consent in the meeting. here in this question, we have a 6 member board. Although only two of the board members are physically present, through conference call Alice and Bob increased the number to 2 when they joined in. Therefore the number of board members at this meeting is 4, then the requirement has been met. So since this 4 agreed to the purchase, it is authorized and valid since a quorum was present and a majority of them agreed to the action. option a is correct