Answer:
a. $12.08 per share
Explanation:
For computing the next year stock we have to do the following calculations
Current Earning per share = Net Income ÷ Number of Common Shares Outstanding
= $9,750,000 ÷ 5,500,000 shares
= $1.77
Current Price Earning ratio = Current stock price ÷ Current EPS
= $14.74 ÷ $1.77
= 8.33
Now Next year earning per share = $9,750,000 × 1.25 ÷ 8,400,000 shares = $1.45
So, the next year stock price = $1.45 x 8.33
= $12.08 per share
Answer:
10.12%
Explanation:
Wacc = (D / V)rd (1 - t) + (E / V) re
(D/V) = 0.3
Rd = before tax cost of debt = 5.5%
T = tax rate = 30%
(E / V) = 0.7
Re = marginal cost of equity = 12.8%
= (0.3 x 5.5% × 0.7) + (0.7 x 12.8%) = 1.155% + 8.96% = 10.12%
I hope my answer helps you
Answer:
Explanation:
Let x be the amount loaned at 7% and ($19,000 - x) be the amount loaned at 15%
Given:
Interest incurred at 7%, I1 + Interest incurred at 15%, I2 = $2000
Interest, I = amount × rate
I1 = 7/100 × x
I2 = 15/100 × ($19,000 - x)
From the above expressions,
(0.07)x + (0.15) × ($19,000 - x) = $2,000
Solving for x,
0.07x + 2850 - 0.15x = 2000
Collecting like terms,
0.08x = 850
x = $10625
The amount loaned at 7% interest is
$10625
The amount loaned at 15% interest is ($19000 - $10625)
= $8375
Answer:
E. $25,000 unfavorable
Explanation:
The labor efficiency variance shall be calculated using the following formulas:
Labor efficiency variance=((Standard labor hours used to make the actual production
)- (Actual labor hours used to make the actual production))* standard rate per hour
Standard labor hours used to make the actual production=15,000
Actual labor hours used to make the actual production=17,500
standard rate per hour=$10 per hour
Labour efficiency variance=(15,000-17,500)*10
=25,000 unfavourable
So based on the above discussion, the answer shall be E. $25,000 unfavorable
Answer:
Web brosers are not considered a company's resource.
Explanation:
The reasons behind this answer are that in the first place, the company does own the hardware or office equipment the employee uses to send the e-mails. Also, they own the time because they have the arrangement to acquire the employees' time and skills to develop certain tasks. Furthermore, the company's also own the software they paid for. However, web browsers are free to use and they don't require licenses to be used. Therefore, web browsers are not copay's resources.
