1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
azamat
3 years ago
15

The firm's target capital structure should do which of the following?

Business
1 answer:
inysia [295]3 years ago
8 0

Answer:

e. Minimize the weighted average cost of capital (WACC)

Explanation:

A: Earnings per share is linked to the stockholders' only, therefore, it cannot achieve the target capital structure. It is a wrong statement.

B: Minimizing the cost of equity is related to the equity only, so, it is also a false statement.

C: Cost of debt is only related to liabilities. It cannot minimize the total target capital structure. Therefore, it cannot be an answer.

D: It is out of question because target capital structure cannot obtain the bond rating.

E: Since weighted average cost of capital is the combination of debt and equity capital's cost, it can be minimized with the firm's target capital structure.

You might be interested in
Congratulations! Your portfolio returned 17.5​% last​ year, 2.2​% better than the market return of 15.3​%. Your portfolio had a
Zinaida [17]

Answer:

0.681 and better

Explanation:

The formula to compute the Sharpe measure is shown below:

Sharpe ratio = (Portfolio return − Risk-free rate) ÷ (Standard deviation of portfolio return )

= (17.5% - 3.2%) ÷ (21%)

= 0.681

Simply we deduct the risk free return from the portfolio return and divide it by the standard deviation of portfolio return

And the market Sharpe measure would be 0.31 and ours Sharpe measure would be 0.681 which reflect the better

8 0
3 years ago
Which of the following are NOT included in the formal financial analysis of a capital budgeting program?
enot [183]

Answer: Option B

Explanation: Capital budgeting refers to the process in which an analyst tries to evaluate whether a long term investment will be profitable for the organisation or not.

In the capital budgeting process, only the quantitative aspects of a project will be taken into consideration and qualitative aspects such as quality and work space safety are not considered.

Hence from the above we can conclude that the right option is B.

5 0
3 years ago
Compared to other industrialized nations, the united states has one of the ________ rates of childhood poverty.
NNADVOKAT [17]

Compared to other industrialized nations, the united states has one of the highest rates of childhood poverty.

Compared to other age groups, the poverty rate for people aged 65 and over is the highest. Older women are more likely to live in poverty than older men.

Positive effect on learning for children from 2 years old. The same positive effects as entertainment television for children over 4 years old.

The official poverty line income threshold is set by multiplying the 1963 inflation-adjusted minimum food cost by a factor of 3 and adjusting for family size, composition, and age of the head of household.

Learn more about industrialized nations at

brainly.com/question/10824836

#SPJ1

4 0
1 year ago
The value of what type of money comes from what it is made of?
vladimir1956 [14]

Answer:

a.representative money

Explanation:

sure po ako dyan na ayan po ang sagot maraming salamat po

3 0
3 years ago
A company undergoing _____ completely redesigns its work processes, hoping for dramatic improvements in the efficiency and effec
netineya [11]

Answer: Business process re-engineering

Explanation:

Business Reengineering is the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical, contemporary measures of performance, such as cost, quality, service, and speed” – Michael Hammer and James Champy

Business process reengineering is an approach used to improve organizational performance by increasing the efficiency and effectiveness of processes that exist across the organization. In addition to the redesigning of business processes, it also involves the redesigning of associated systems and organizational structures.

5 0
3 years ago
Other questions:
  • Which of the following is the best definition of business ethics?
    10·2 answers
  • In relation to an approach to get into customers’ minds, _____ refers to the collection of associations and emotions unconscious
    6·1 answer
  • The management of Penfold Corporation is considering the purchase of a machine that would cost $440,000, would last for 7 years,
    13·1 answer
  • On January 1, 2018, Ameen Company purchased major pieces of manufacturing equipment for a total of $54 million. Ameen uses strai
    11·1 answer
  • Assume that you have just purchased some shares in an investment company reporting $500 million in assets, $50 million in liabil
    15·1 answer
  • Which account option is designed to house money for easy access, either by check or by debit card?
    9·2 answers
  • A) What are the two features in a market economy that stem from self interest?
    9·1 answer
  • he complete list of items needed to prepare a statement of cash flows includes ______. Multiple choice question. current year ba
    11·1 answer
  • A market that has no barriers to entry and many small firms selling products that are slightly different from one another is bes
    9·1 answer
  • Running at the same constant rate, 6 identical machines can produce a total of 270 bottles per minute. At this rate, how many bo
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!