The continuous falling price level is called inflation.<br> True or false?

An investment company where workers follow a strict schedule is an example of a(n) _

Allisa [31]

Answer:

D. Formal Workplace

Explanation:

8 0

4 years ago

Kuhn company is considering a new project that will require an initial investment of $4 million. It has a target capital structu

patriot [66]

Answer:

b. 9.00%

Explanation:

For the computation of WACC first we need to follow some steps which is shown below:-

Step 1

Cost of debt = 5.48% which is explained with the help of attachment.

Given that,

Present value = $1,555.38

Future value or Face value = $1,000

PMT = 1,000 × 11% = $110

NPER = 15 years

The formula is shown below:

= Rate(NPER;PMT;-PV;FV;type)

The present value come in negative

So, after applying the above formula, the cost of debt is

Step 2

Cost of preferred stock = Annual preferred dividend ÷ Price

= $8 × $92.25

= 0.086721

Step 3

Cost of equity = Dividend ÷ (Stock price × (1 - flotation cost)) + Growth rate

= 2.78 ÷ (33.35 × (1 - 0.08)) + 0.092

= 18.26%

WACC = Weight of debt × Cost debt) + (Weight of preference stock × Cost of preference stock) + (Weight of equity × cost of equity)

= (0.58 × (0.0548 × (1 - 0.4)) + (0.06 × 0.086721) + (0.36 × 0.1826068)

= 9.00%

6 0

3 years ago

Malone Imports stock should return 12 percent in a boom, 10 percent in a normal economy, and 2 percent in a recession. The proba

Rufina [12.5K]

Answer:

6.11%

Explanation:

For computing the variance, first we have to determine the expected return which is shown below:

= (Expected return of the boom × weightage of boom) + (expected return of the normal economy × weightage of normal economy) + (expected return of the recession × weightage of recession)

= (12% × 5%) + (10% × 85%) + (2% × 10%)

= 0.6% + 8.5% + 0.2%

= 9.30%

Now the variance would equal to the

= Weightage × (Return - Expected Return) ^2

For boom:

= 5% × (12% - 9.3%) ^2

= 0.3645

For normal economy:

= 85% × (10% - 9.3%) ^2

= 0.4165

For recession:

= 10% × (2% - 9.3%) ^2

= 5.329

So, the total variance would be

= 0.3645 + 0.4165 + 5.329

= 6.11%

4 0

3 years ago

The underlying reason why trade benefits both sides of a trading arrangement is rooted in the concept of __________________.

Marysya12 [62]

Answer:

opportunity cost

Explanation:

The concept of Opportunity cost deals with the idea that individuals, investors, or business owners, due to scarcity of resources, lost possible benefits that could be gained, as he or she chooses alternative choice.

Hence, the underlying reason or factor trade benefits both sides of a trading arrangement is rooted in the concept of OPPORTUNITY COST.

Therefore, the right answer is Opportunity cost.

7 0

3 years ago

QS 6-6 Petty cash accounting LO P2 1. Brooks Agency set up a petty cash fund for $280. At the end of the current period, the fun

olga_2 [115]

Answer:

1a

Dr Petty cash $ 280

Cr Cash $ 280

1b

Dr Entertainment $ 50

Dr Postage $ 24

Dr Printing $ 8

Cr Cash $ 82

Explanation:

Journal entry

1a

Dr Petty cash $ 280

Cr Cash $ 280

( To record petty cash fund created)

1b

Dr Entertainment $ 50

Dr Postage $ 24

Dr Printing $ 8

Cr Cash $ 82

(50+24+8)

(To Record Petty cash replenished)

4 0

3 years ago

The continuous falling price level is called inflation. True or false?