Since there is no debt, all the capital that the company raises is in the form of common equity.
Since there is only equity (meaning the firm is a fully equity firm), the weighted average cost of capital (WACC) is nothing but the cost of equity
In this case the WACC represents the cost of equity
Therefore, cost of equity = WACC = 8%
Answer:
A. Debit: Bad Debt Expense 2,500
Credit: Allowance for Doubtful Accounts 2,500
250,000 x .01 = 2,500
B. Debit: Bad Debt Expense 2,750
Credit: Allowance for Doubtful Accounts 2,750
3,000 - 250 = 2,750
Answer:
(a) 0; 0
(b) $150 per hour; $16.67 per hour
(c) (b) $150 per hour; $53.57 per hour
Explanation:
(a) Number of hours = 125
Marginal cost = 0 (since service is cost less upto 200 hours)
Average cost = 0
(b) Number of hours = 225
Marginal cost = $150 per hour
Total cost = $150 × (225 - 200)
= $150 × 25
= $3,750
Average cost = Total cost ÷ Number of hours
= $3,750 ÷ 225
= $16.67 per hour
(c) Number of hours = 325
Marginal cost = $150 per hour
Total cost = $150 × (325 - 200)
= $150 × 125
= $18,750
Average cost = Total cost ÷ Number of hours
= $18,750 ÷ 325
= $53.57 per hour
Answer:
($1,100,000)
Explanation:
Given that
Loans made to affiliated corporations = $1,400,000
Proceeds from sale of Equipment = $300,000
The computation of net cash provided (used) by investing activities is here below:-
Net cash provided(used) by investing activities = (Loans made to affiliated corporations) - Proceeds from sale of Equipment
= ($1,400,000) - $300,000
= ($1,100,000)
So, for computing the cash provided(used) by investing activities we simply applied the above formula.
Answer:
I belive it would be A
Explanation:
This most matches the defenition
