Answer:
Value of the company = $124,019.61
Explanation:
<em>The value of then firm is the present value of its expected future cash inflow discounted at its required rate of return. </em>
<em>In this case, the earnings available to ordinary shareholders becomes the annual cash inflow while the appropriate discount rate is the cost of equity</em>.
The absence of debt in the company's capital structure implies that the cost of equity would be the appropriate discount rate.
And the value of the company would be determined as follows
Value of the company = Earnings after tax/Cost of equity
Earnings after tax = EBIT × (1-Tax rate)= 25,300×(1-0.25)=18,975
Cost of equity = 15.3%
Value of the company = 18975
/0.153= 124,019.6078
Value of the company = $124,019.61
Answer:
The answer is: True
Explanation:
An incentive is a punishment or a reward that induces someone (or the general public) to act a certain way. Many times incentives work because people compare costs and benefits. For example, in Europe gas prices are extremely high due basically to high taxes on gas. That is why most cars sold in Europe are much smaller and fuel efficient than those sold in the US were taxes on gas are usually much lower so the gas price is also much lower. The incentive is saving money even though most European cars aren´t as comfortable as those sold in the US.
In this specific question, those who wanted to drink beer will probably calculate how many beers they need to buy or drink to offset the expenses of going to the next county to buy beer. Probably no one will travel several miles just to buy 1 beer, but at some amount of beer the math will make you drive. Besides losing business in your own county, another collateral damage is the rise in drunk driving.
Answer:
Letter B, <u>false</u>.
Explanation:
An intermodal shipment occurs when more than one means of transport is used for the same shipment, which means that two or more means of transport may be used depending on the need of the company.
In the case of the question only one means of transport was used, which is configured as a unimodal shipment.
Answer:
Priority programming is a process programming method based on priority. In this technique, the developer chooses the tasks to work according to priority, which is different from other types of programming, for example, a simple round-robin.
On UNIX and many other systems, higher priority values represent lower priority processes. Some of the systems, such as Windows, use the opposite convention: a higher number means a higher priority
Explanation:
Priorities can be dynamic or static. Static priorities are assigned during creation, while dynamic priorities are assigned according to the behavior of the processes while they are in the system. To illustrate, the planner could favor intensive input / output (I / O) tasks, allowing expensive requests to be issued as soon as possible.
Priorities can be defined internally or externally. Internally defined priorities make use of a measurable amount to calculate the priority of a given process. On the contrary, external priorities are defined using criteria beyond the operating system (OS), which may include the importance of the process, the type and sum of the resources used for the use of the computer, user preferences , trade and other factors such as politics etc.
Answer:
1. Companies using FIFO will report the highest gross profit and net income.
2. Companies using FIFO will report the smallest cost of goods sold.
3. Weighted average cost of goods sold will be between FIFO and LIFO costs of goods sold.
4. Companies using FIFO will pay higher taxes than companies using LIFO, assuming all else being equal.
Explanation:
If costs are rising, companies using FIFO will report higher profits simply because they calculate cost of goods sold based on the oldest products which were purchased at a lower cost.
FIFO and LIFO costs will be the extreme points, FIFO showing lowest costs while LIFO will result in the highest costs, while the weighted average will be in between.
Since companies using FIFO report higher profits, they will have to pay more taxes.