B, but only when you go to sell - capital gains
Answer:
False
Explanation:
Among the various reasons, Japan is a high country saving rate relative to investment that cause a significant trade surplus. A higher saving rate generally corresponds to trade surplus. Japan socio-political and economical conditions reveals that people have a high propensity to save. Many reason like high life expectancy rate, underdeveloped social security and tax incentives for income from capital and frequent environmental hazards attributed to the high rate of saving in Japan.
With the high rate of savings relative to domestic investment, Japan invest more funds in other countries(net capital outflow increases). This is matched with high net exports leading to a trade surplus.
Answer:
Check the explanation
Explanation:
Check the attached image below for:
1) Value of equity = EBIT x (1 - tax) / Cost of equity
2) Stock Price
3) PV of tax shield
Value of the firm
4) Price per share
5) No. of shares repurchased
6) New price
7) Value of equity = (EBIT - Interest) x (1 - tax) / Cost of equity
Answer:
Ans. The loan payment is $1,582,784.88, therefore is smaller than the lease by $207,215.12
Explanation:
Hi, first we have to find out the amount to pay for the loan every year in order to verify if the loan is cheaper or more expensive than the lease, we have to use the following formula and slove it for "A".
Now, we solve for A
Now we can see that the lease is more expensive than the loan, this is how to find out for how much.
Best of luck.
Answer:
A. Total expenditure on light bulb increases after the tax.
Explanation:
The government has imposed tax on the light bulb production and the new price after the tax is $14. The price before the tax was $12 and the marginal cost before tax was $9. There was a profit of $3 for the producers of the light bulb. The tax burden is shifted to the consumers of the bulb since the marginal price after tax is $12. Total expense for the production of bulb has increased due to tax.
