Answer:
The correct answer is 4.33%(approx)
Explanation:
According to the scenario, the given data are as follows:\
Face value = $1,000
Market price = $1,278.41
Coupon Rate = 11%
So Coupon Payment = $110
Years to maturity = 10 years
So, we can calculate the after tax cost of debt by using following method:
After Tax Cost of Debt = YTM × ( 1 - Rate of Tax)
Where, YTM = 
So, by putting the following value, we get
YTM = 0.0721
So by putting the value in formula, we get
After Tax Cost of Debt = 0.0721 × ( 1 - 0.4)
= 4.33% (approx)
Answer:
False
Explanation:
Most interest rates in the economy are not set by federal reserve. For example, banks decide what interests to pay different kind of deposits and charge loans of different risks on their own (with consideration for competition and profitability).
What the Fed does is set important rates (discount rate and funds rate) that influence other interest rates in the economy.
I believe it is the B. troubleshooting focuses on how to fix the problem
The kind of marketing strategy that Bateman Gray adopted with its car dealers is exclusive dealing.
Exclusive dealing marketing strategy occur when a dealer only sell the items or goods made by a specific or particular supplier or manufacturer.
This means that customers can not find another brand of products produce by another manufacturer in the dealer outlet because the dealer has stick to that particular products from the designated supplier.
Based on the information given the car dealer is engaging in what is called Exclusive dealing because the dealer is only selling a particular brand products from a particular company.
Learn more about exclusive dealing here:
brainly.com/question/15182671
Answer:
increase by $15,600
Explanation:
Fixed cost remains constant throughout a period. If production is through the use of idle capacity, fixed cost will not change.
Change is income will result from the total contribution margin realized from the special order.
The total contribution margin is the contribution margin per unit multiplied by total units.
Contribution margin per unit = special offer price - variable costs
=$23.40- $18.20
=$5.20
change in income will be $5.20 x 3000
=$15,600 increase
