Answer:
WACC is 9%
Explanation:
WACC is the average cost of capital of the firm based on the weightage of the debt and weightage of the equity multiplied to their respective costs.
According to WACC formula
WACC = ( Cost of equity x Weightage of equity ) + ( Cost of debt ( 1- t) x Weightage of debt ) + ( Cost of Preferred equity x Weightage of Preferred equity )
As per given data
Market Values
Equity = $7 billion,
Preferred stock = $2 billion
Debt = $13 billion
Cost
Equity
Capital asset pricing model measure the expected return on an asset or investment. it is considered as the cost of common stock.
Formula for CAPM
Cost of Equity = Risk free rate + beta ( market return - risk free rate )
Cost of Equity = Rf + β ( Mrp )
Cost of Equity = 3% + 1.6 ( 8% ) = 15.8%
Preferred stock = $2 / $26 = 0.077 = 7.7%
Debt = 8%
Placing values in the formula
WACC = ( 15.8% x $7 billion / $22 billion ) + ( 8% ( 1- 0.3) x $13 billion / $22 billion ) + ( 7.7% x $2 billion / $22 billion )
WACC = 5.03% + 3.31% + 0.7% = 9.04%
Answer:
The correct answer is Product Development Stage.
Explanation:
If any of the changes are required to be incorporated in a design, the best point of attempting these changes is in the product design phase such that the considerations are included from the initial stage and the design effort is not wasted.
Answer:
The correct answer is Limited Liability Partnerships.
Explanation:
A Limited Liability Company is a type of mercantile company, in which the liability is limited to the capital contributed, and therefore, in the event that debts are incurred, it does not respond with the personal assets of the partners, but to the one contributed in said Limited company. It presents as a capitalist-type society in which capital, which will be divided into social interests, will be integrated by the contributions of all partners, who will not respond personally to social debts.
Social ACTIONS are not equivalent to the actions of corporations, as there are legal obstacles to their transmission. In addition, they do not have a "value" character and cannot be represented by means of securities or account entries, and their transmission by means of the public document that will be registered in the partner register book is mandatory. It will be constituted in a public deed and subsequently in the registration of the commercial register, at which time it acquires legal personality.
Answer:
The correct answer is letter "D": A and C.
Explanation:
Utility is the satisfaction or joy an individual perceives by consuming a given good or service. Marginal utility is the satisfaction perceived by consuming one more unit of a good or receiving a service one more time. Total utility is the aggregate utility as a result of adding the number of goods or services consumed.
<em>When marginal utility starts falling, total utility could still be rising since even if the consumer is not enjoying the same way the consumption of a good the individual is still adding more units to the consumption. However, there will a point in which the consumption of the good will not represent any satisfaction to the individual not adding more units anymore, thus, total utility starts dropping.</em>
