Answer:
$321,600
Explanation:
debt equity ratio = debt / equity
since the debt to equity is 0.8, that means that for every $ invested from equity, $0.80 will be borrowed. If the new project requires an initial cash outlay of $300,000:
- then $300,000 / $1.80 = $166,667 will be new equity
- and $133,333 will be new debt
total cost of initial outlay including flotation costs = ($166,667 x 1.09) + ($133,333 x 1.0495) = $181,667 + $139,933 = $321,600
flotation costs include all the costs associated with issuing new stocks or taking new debt.
Answer:
$3,826
Explanation:
Free cash flow is defines as the cash flow from a business that is avaible to security holders of the corporation. It is the cash that remains after a business finds its operations and capital assets.
Free cash flow can be used instead of earnings nper share to determine the profitability of a business, an advantage is that it remove non cash items from income statement.
Free cash flow= Cash flow from operations- cash flow from investing activity ( capital expenditure)
Free cash flow= 5,070- 1,244= $3,826
Answer:
A. the lower of cost or market
Explanation:
- Regardless of the inventory cost the flow assumption that that is used to show the invention of the balance sheets is stated in the lower order of the cost to the market and that the cost on an inventory item changes form the time it's acquired or sold.
The answer to this problem is the "four-day orientation". This is needed to let them in advance the environment that they about to stay during the duration of their employment. The new employees in the bureaucratic organizations usually have this four-day orientation into the basic operating rules and procedures for getting things done.
Answer:
- Tax liability = $24,222.50
- Marginal rate = 24%
- Average rate = 19.35%
Explanation:
Question requires that we find the Tax liability, Marginal rate and Average rate.
Tax liability:
Chandler is in the $84,200 to $160,725 bracket.
= 14,382.50 + 24% * (125,200 - 84,200)
= 14,382.50 + 9,840
= $24,222.50
Marginal rate = 24%
Chandler's bracket is the 24% bracket.
Average rate:
= Tax/ Taxable income
= 24,222.50 / 125,200
= 19.35%