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Tom [10]
3 years ago
13

Check my work Check My Work button is now disabledItem 5Item 5 6 points The aftertax cost of debt: Multiple Choice varies invers

ely to changes in market interest rates. will generally exceed the cost of equity if the relevant tax rate is zero. will generally equal the cost of preferred if the tax rate is zero. is unaffected by changes in the market rate of interest. is highly dependent upon a company's tax rate.
Business
1 answer:
DaniilM [7]3 years ago
7 0

Answer: is highly dependent upon a company's tax rate.

Explanation:

The after-tax cost of debt is defined as the net cost of debt that is determined by adjusting the gross cost of debt incurred for its tax benefits. The after-tax cost of debt

equals the pre-tax cost of debt which is then multiplied by (1 – tax rate).

The after-tax cost of debt is the cost of debt which is included while calculating the weighted average cost of capital and it has a greater effect on the cost of capital of a firm when there's an increase in the debt-equity ratio.

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Diaz Company owns a milling machine that cost $250,000 and has accumulated depreciation of $182,000. Prepare the entry to record
nadya68 [22]

Answer:

1) loss at disposal                   68,000 debit

  accumulated depreciation 182,000 debit

                 milling machine          250,000 credit

2) loss at disposal                   33,000 debit

   cash                                     35,000 debit

  accumulated depreciation 182,000 debit

                 milling machine          250,000 credit

3)

   cash                                     68,000 debit

  accumulated depreciation 182,000 debit

                 milling machine          250,000 credit

4) cash                                     80,000 debit

   accumulated depreciation 182,000 debit

   gain  at disposal                          12,000 credit

                 milling machine          250,000 credit

Explanation:

the book value is the same for all alternatives:

cost - accumualted depreciation

250,000 - 182,000 = 68,000 net book value

1) as there is no salvage value all the book alue is considered loss at disposal

from #2 to #4 we recieve cash for the milling machine to determinate the loss/gain we need to do as follows:

proceeds less book value = result (gain if positive loss if negative)

2)       35,000 - 68,000 = -33,000

3)         68,000 - 68,000 = 0

4)          80,000 - 68,000 = 12,000

8 0
3 years ago
Four years ago, acme tool and die included its employees in a profit-sharing plan in which workers started receiving quarterly b
worty [1.4K]
This productivity increase is best explained in term of OPERANT CONDITIONING.
Operant conditioning refers to a situation in which positive reinforcements are used to provide positive behavior. In operant conditioning, behavior is controlled by consequences. In the question given above, the positive reinforcement is the integration of the employees into profit sharing plan and the behavior that resulted from this is the significant increase in productivity.
4 0
3 years ago
Tell me about one of your most passionate beliefs and explain how it has an impact on the way you think, behave, attend events,
WITCHER [35]

Answer:

One of my most passionate belief is "Fail Better". This is the belief which I developed since childhood, my family kept on saying this me when I was just 10 years old. Since then, It has been deeply rooted and firmly suited in my mind. It has influenced me from my childhood, I never felt hesitated in taking risks, trying new ideas, things and adventures in my whole life. This has definitely impacted the way I think, behave and communicate with others. This belief was then further been transformed and translated into "Fall seven times, Get up eight". I have followed these rules very strongly in my whole life.  I have started many small businesses when I was in college, almost I failed in them but I learnt so many things which none could have taught me.

5 0
3 years ago
understand the different types of pricing objectives and how pricing affects each one:] a. survival b. profit c. return on inves
sesenic [268]

Only in special circumstances or on a temporary basis may survival pricing be used.

<h3>How does pricing policy impact an organization's ability to survive?</h3>

Many operations of the firm's activities are directly correlated with a product's price. Demand will be impacted by a price decision, which in turn will have an impact on the firm's income. Similar to this, a profitable company tends to draw in more new funding.

<h3>How price impacts revenue?</h3>

Your pricing approach will have an impact on the profit margin you make on each unit sold; assuming you don't lose sales, charging more will result in a higher profit margin. In contrast, higher pricing that result in lower sales volumes might reduce or even erase your profits because your overhead costs per unit rise as you sell fewer units.

<h3>What is ROI and how is it impacted by pricing?</h3>

ROI is to quantify the relationship between an investment's return and cost. ROI is calculated by dividing the benefit (or return) of an investment by its cost. A percentage or ratio is used to represent the outcome.

<h3>How market share is impacted by pricing?</h3>

Customers' interest and loyalty can be attracted by offering lower and more alluring prices. The vital sales that increase market share could increase as a result. In addition to providing promotions, coupons, freebies, and other benefits to customers, a business can consider discounts on the actual cost of the goods.

<h3>How do prices impact cash flow?</h3>

One of the key aspects of a company's performance that directly affects cash flow is pricing. If you overcharge for your services, your cash flow will suffer along with your profit margin. If you price things too expensive, you run the danger of pricing potential clients out who either can't or won't pay.

<h3>How do prices impact the status quo?</h3>

The more that higher prices denote higher quality, the less sensitive consumers become to price. Competition pricing, also referred to as status quo pricing, is either keeping current prices (status quo) or basing prices on those of rival businesses.

<h3>How does product quality relate to price?</h3>

Small pricing adjustments translate into huge quality changes when prices are low. Small price changes correspond to smaller quality changes when prices are higher. But in every situation, more expensive goods are of superior quality.

Learn more about survival pricing: brainly.com/question/18498033

#SPJ4

3 0
1 year ago
Gianna put $1,000 in a savings account for 18 months. The interest on the account is 3.5%.
Nadya [2.5K]

Answer:

You will earn $52.96 in interest

You have $1,052.96 in total.

6 0
3 years ago
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