Answer:
0.4766
Explanation:
Given:
WACC = 9.7%
Company’s cost of equity = 12%
Pretax cost of debt = 7.5%
Tax rate = 35%
Now,
WACC
= Weight × Cost of equity + (1 - weight) × Pretax cost of debt × (1-tax rate)
or
0.097 = weight × 0.12 + ( 1 - weight ) × 0.075 × (1 - 0.35)
or
0.097 = 0.12 × weight + 0.04875 - 0.04875 × weight
or
0.04825 = 0.07125 × weight
or
weight = 0.6772
also,
weight =
or
=
or
=
+ 1
or
1.4766 =
+ 1
or
= 0.4766
If government purchases increase by $10 billion and the economy's MPC is. 8, the aggregate demand curve will shift <u>rightward by $50 billion at each price level.</u>
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A series of markets where goods and services are exchanged, facilitated by capital, combine to make an economy. These networks exist at a local, national and global level. Economies can take many exclusive forms, focus on various priorities, and feature distinct levels of government intervention.
Financial issues influence our everyday lives. This consists of problems such as tax and inflation, interest rates and wealth, inequality and emerging markets, and energy and the environment. Economic systems can be categorized into four major types: traditional economies, command economies, mixed economies, and market economies.
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A retail value chain represents the total benefits offered to consumers through a channel of distribution
Answer:
Debit Unearned Revenue, Credit Service Revenue for $9,200
Explanation:
Date Account Titles Debit Credit
Sept 1 Cash $16,100
Unearned service revenue $16,100
Dec 31 Unearned service revenue $9,200
Service Revenue $9,200
($2300 * 4 months)