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hodyreva [135]
3 years ago
9

The cost of debt capital for a firm . a. is equal to the current yield (not YTM) on the firm’s outstanding bonds b. can be calcu

lated by estimating the beta of the firm’s equity and then using the SML c. can be calculated by looking at the coupon rates on existing bonds of similar risk d. can be estimated even if the firm’s bonds are not publicly traded, by looking at the yield to maturity on bonds outstanding from peer group firms with similar ratings and maturity.
Business
1 answer:
topjm [15]3 years ago
3 0

Answer:

d. can be estimated even if the firm’s bonds are not publicly traded, by looking at the yield to maturity on bonds outstanding from peer group firms with similar ratings and maturity

Explanation:

The cost of Debt for a firm is estimated even if the firm's bonds are not publicly traded, by looking at the yield on bonds outstanding from peer group firms with similar ratings and maturity.

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Barclay Bikes manufactures and sells three distinct styles of bicycles: the Youth model sells for $420 and has a unit contributi
sergey [27]

Answer:

the  firm's contribution margin per composite unit is $8,775

Explanation:

The computation of the firm's contribution margin per composite unit is given below:

= $165 × 5 + $510 × 9 + $560 × 6

= $825 + $4,590 + $3,360

= $8,775

Hence, the  firm's contribution margin per composite unit is $8,775

Therefore the same is to be considered and relevant

7 0
3 years ago
Prisly Inc. is a multinational company that specializes in manufacturing and selling high-end cars. It launches a new car Gwen 2
antoniya [11.8K]

Answer:

3. cannibalization

Explanation:

This term refers to the situation were sales or the market share of a product are reduced because another product is introduced by the same company.

5 0
4 years ago
Read the article "Organizational Characteristics and Use of Balanced Scorecard Measures in Executive Compensation" by Pollanen a
Gnoma [55]

Answer:

Consider the following explanation

Explanation:

Executive compensation depends on the overall performance of the company sequentially. It depends on various factors which determine the success of the organization. There has being a tool where the overall performance of the company and its overall standpoint is mentioned explaining in detail the occurrence of various events. Balanced score card is nothing but a report card explaining performance. Executive compensation attracts a clause of payment of a certain percentage only after achieving certain specific performance targets. Balanced score cards includes following things

Learning and growth perspective: it includes what the employees learn from the system, their training which is an essential aspect to increase their productivity.

Business perspective: determines how business are performing with regards market capitalization or client conversion ratios, also concerns about the region the business is growing into.

customer perspective: what customer wants, and what is being delivered to him, it helps company to close the gap to increase quality of delivery

Financial perspective: explains ratios, profits, losses, analysis regarding the financial position of the company.

8 0
4 years ago
Hey guys I know this isn’t a math or any school related thing but can y’all please subscribe to my channel . Please
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5 0
3 years ago
Read 2 more answers
Noncash assets are expected to produce cash over time but the amount of cash they eventually produce could be higher or lower th
Gre4nikov [31]

Answer:

Correct answer is TRUE

Explanation:

Non-cash assets are expected to produce cash over time but the amount of cash they eventually produce could be higher or lower than the values at which the assets are carried on the books. Some factors that affects the value of non-cash assets are the general economic forces such as inflation or deflation, amortization or impairement itself of the assets. It maybe realized at favorable side (gain) or unfavorable (loss) side.

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3 years ago
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