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aleksklad [387]
3 years ago
7

The reason why reinvested earnings have a cost equal to the required rate of return is because investors expect to earn on those

funds, what they earn on new projects or purchases of other firms. This is called opportunity costs.True / False.
Business
1 answer:
KatRina [158]3 years ago
4 0

Answer:

true the investors expect to earn on those funds

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Great Subs Inc., a regional sandwich chain, is considering purchasing a smaller chain, Eastern Pizza, which is currently finance
tatuchka [14]

Answer:

WACC 13.85600%

Explanation:

First we calculate Eastern Pizza CAPM:

Ke= r_f + \beta (r_m-r_f)

risk free = 0.08

market rate = 0.12

premium market = (market rate - risk free) 0.04

beta(non diversifiable risk) = 2

Ke= 0.08 + 2 (0.04)

Ke 0.16000

Then we solve for WACC

WACC = K_e(\frac{E}{E+D}) + K_d(1-t)(\frac{D}{E+D})

Ke 0.16000

Equity weight 0.8

Kd 0.08

Debt Weight 0.2

t 0.34

WACC = 0.16(0.8) + 0.08(1-0.34)(0.2)

WACC 13.85600%

The company will use the data on eastern Pizza to evualuate project presented to it. Also, it will  consider the new tax rate to determinate the tax shield.

3 0
3 years ago
when my supervisor presents me with multiple situations to see if i know when to implement a certain skill, (s)he clearly does n
Anit [1.1K]

When my supervisor presents me with multiple situations to see if I know when to implement a certain skill, (s)he clearly does not trust me to know what I am doing. The above statement is false.

<h3>What does skill refer to?</h3>
  • A skill is a learned ability to perform an action with predictable results consistently and well within a certain window of time or energy, or both. Domain-general and domain-specific skills are two common categories of skills.
  • For instance, in the field of work, generic skills like time management, teamwork and leadership, self-motivation, and others are useful in all jobs, whereas domain-specific abilities are only applicable to a certain position.
  • To evaluate the amount of ability being displayed and applied, specific contextual triggers and scenarios are typically required.
  • When a skill represents a body of knowledge or a specific field of study, such as the art of war or the art of medicine, it is referred to as an art.

To learn more about skill with the given link

brainly.com/question/9648460

#SPJ4

Question:

When my supervisor presents me with multiple situations to see if I know when to implement a certain skill, (s)he clearly does not trust me to know what I am doing. State whether the statement is true or false.

4 0
1 year ago
PLEASE HURY
horsena [70]

Answer:

your answer is C I am not 100% sure

7 0
3 years ago
How can the use of new technology in industry benefit the US government
ahrayia [7]

Answer:they can track things

Explanation: if they need info all they need to do is hack

8 0
3 years ago
Support staff in the office of the president include who?
Alina [70]
In the question mentioned above, we are asked who are the support staff in the office of the president and this includes different people when different job description. These people are the following list enumerated below:
1. Administrators
2. The Cabinet Members
3. The reporters
4. The party leaders
7 0
3 years ago
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