Answer:
WACC incorrect must be selected is the correct answer to this question.
Explanation:
The weighted average cost of capital is the amount of the valuation of the security x the cost of the security concerned. Thus, if the weight of defense increases at a high rate, the total average rate of assets rises as well.
In our present scenario, the weight of equity rises (as equity increased to repay the debt), and debt decreases (as debt is redeemed) and the cost of equity is 15.5 percent, which is higher than the cost of debt by 6 percent. As a result, the weighted average cost of capital increases.
Answer: See explanation
Explanation:
Based on the information given in the question, the increase or decrease in the retained earnings will be calculated as:
= (10,000,000 - 400,000) × 15% × $15
= 9,600,000 × 0.15 × 15
= 21,600,000
The retained earnings will decrease by $21.6 million
The options given aren't correct.
Answer:
Interest revenue = $56
Explanation:
Interest on note receivable calculation:
Note receivable amount × Interest rate × Numbers of period
Given,
Note rwceivable amount = $2100
Interest rate = 8%
Number of period = 6 month
Putting the values into the formula we can get
Interest on note receivable calculation =$2100 × 8% × (6/12)
= $168 × (6/12)
Interest for the notes Receivable for 6 months = $84
The note receivable will be matured on March 1 2022. But we have to calculate the interest for 2021. Therefore Middleton Corp. Will report interest revenue = $84 × (4/6)
= $56
I believe the answer is: A. 7 stops
Urban areas usually require one transits every 1/4 mile as its bare minimum (which is around 4 stops in one mile). This large amount exist because in urban areas such as new york , most of the people actually do not own a personal vehicles and public transportation are their main method of travel.
McDonald's will recognize a gain if it generates an amount of revenue that is higher than its operating expenses. This statement is False.
- Gains are advantages produced by non-operating activity. For instance, McDonald's runs a fast food restaurant. Its main business activity is providing food to clients. Nevertheless, McDonald's engages in operations unrelated to the sale of burgers, fries, etc.
- For instance, although not being in the real estate industry, the corporation does buy and sell land and structures that house its restaurants. McDonald's would benefit by $30,000 ($150,000 - $120,000) if it sold a piece of land for $150,000 instead of just $120,000. Gain is the term used to describe this $30,000 profit from a non-operating activity. Losses are the costs incurred as a result of non-operating operations.
- For instance, the company would lose $20,000 ($100,000 - $120,000) if McDonald's had to sell the land it paid $120,000 for for $100,000. In conclusion, typical business activities generate revenues and expenses, while non-operational occurrences generate gains and losses.
Thus the answer is false.
To learn more about revenues and expense, refer: brainly.com/question/13738783
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