Answer:
Cost of equity is 11.2%
WACC is 8.74%
Explanation:
The formula for cost of equity is given below:
Cost of equity=risk free rate+(Beta *risk premium)
risk free rate is the treasury bill rate of 4%
Beta is 0.9
market risk premium is 8%
cost of equity=4%+(0.9*8%)=11.2%
WACC=Ke*E/V+Kd*D/V*(1-t)
Ke is the cost of equity of 11.2%
Kd is the cost of debt of 5%
t is the tax rate of 40% or 0.4
E is the equity weighting of 70% or 0.7
D is the debt weighting of 30% or 0.3
V is the E+D=0.7+0.3=1
WACC=11.20%
*0.7/1+(5%*0.3/1*(1-0.4)
WACC=7.84%
+0.90%
=8.74%
Answer:
FDI
Explanation:
Foreign direct investment (FDI) is an investment from a party in one country into a business or corporation in another country with the intention of establishing a lasting interest. Lasting interest differentiates FDI from foreign portfolio investments, where investors passively hold securities from a foreign country. A foreign direct investment can be made by obtaining a lasting interest or by expanding one’s business into a foreign country.
Answer:
Explanation:Three legal form of business organization
(1)sole proprietorship:-this is a one man business the PROPRIETOR. He runs the total affairs of the business
Advantages:-The owner has the final says
He enjoys all profits
Disadvantage:-the owner bears the loss alone.
His death can end the business..
(2)PARTNERSHIP:-It is a business owned by two or more people called partners..
advantages:-fund raising is easy..
They bring experience together..
Work load is shared.
Disadvantages:-profits is sheared..
Disagreement can set in and end the business
Death of some partners can end the business..
LIMITED LIABILITY COMPANY:-A limited liability company is a corporate structure whereby the owner are not personally liable for the company's debt or liabilities. Limited liability companies are hybrid entities that combines Tue characteristics of a corporation with those of a partnership or sole proprietorship..
Advantage:-transfer of ownership is easy..
Disadvantage:-exploitation of share holders..
Answer:
Additionally, Lubbock ranks eleventh in Texas as the least expensive city and has a cost of living index 10% below the national average.
Explanation:
Lubbock is in Lubbock County and is one of the best places to live in Texas. Living in Lubbock offers residents a dense suburban feel and most residents own their homes. In Lubbock, there are a lot of parks. Many families and young professionals live in Lubbock and residents tend to lean conservative.
Answer:
The correct answer is: cognitive model.
Explanation:
The cognitive model of abnormality in psychology refers to the study of how people think and what their perceptions are and how they affect their behavior, emotions, and reactions. Because of internal and/or external factors, individuals' thoughts could be distorted. However, they can learn to discriminate between one and another so their perceptions adjust more to reality.
