She will be indifferent between these plans if her rate of time discount is equals 21 percent. If her rate of time discount is less than this amount she will opt for a plan B.
<h3>What is
discount rate?</h3>
The bank rate, sometimes known as the discount rate in American English, is the interest rate charged by a central bank on its loans and advances to commercial banks.
In a discounted cash flow (DCF) analysis, the discount rate is the interest rate used to calculate the present value of future cash flows. This helps establish whether the future cash flows from a project or investment will be worth more than the initial capital outlay required to support the project or investment.
The discount rate is an essential measure of an economy's credit situation.
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property sales- rent
capital gains-dividends
marketing sales- interest
Answer:
The question is missing requirement below:
Calculate the EPS before and after the change in capital structure and indicate changes in EPS. (Negative answer should be indicated by a minus sign. Round your answers to 2 decimal places.) EPS before $ EPS after $ Difference $.
The EPS before change in capital structure is $1.90 per share and $1.29 per share after the change in capital structure,hence there is a drop of $0.61 per share in EPS as a result of increase in the number of shares emanating from fresh issue of shares.
Explanation:
EPS gives an indicator of the amount of earnings after tax and interest that each ordinary share is entitled to in a year.
Earnings tells us how much a company has per share to pay dividends and reinvest in the business since internal finance is the cheapest form of finance.
EPS is calculated as total earnings attributable to ordinary shareholders divided weighted average number of shares as shown in the attached spreadsheet
Answer: Progressive tax policy
Explanation: In a progressive tax policy the rate of tax increases with the amount of taxable income, thus, making it possible to tax the people with higher income high tax and the lower section of the society a low level of tax.
The concept of progressive tax policy is based on the concept of ability to pay and not necessity to pay.
Thus, from the above we can conclude that right option is A.
Answer:
Check the explanation
Explanation:
(A)
The decision to be made: Type(s) of graph to plant in order to maximize profit Chance event: Demand for the wine i e week or strong Consequences Expected: Annual Profit Contribution
Decision Alternatives:
Planting C type grapes only
Planting R type grapes only
Planting both types of grapes
Chance outcomes:
•Weak demand for C grapes, weak demand for R grapes
•weak demand for C grapes , strong demand for R grapes
•Strong demand for C grapes, weak demand for R grapes
•Strong demand for C grapes, strong demand for Ft grapes
(B) Kindly check the first attached image below
(C) Kindly check the second attached image below
(D) Kindly check the third attached image below
And the answer to part (E) is to plant both grapes.