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Kazeer [188]
3 years ago
14

You currently own 6 percent of the 2 million outstanding shares of Webster Mills. The company has just announced a rights offeri

ng with a subscription price of $50. One right will be issued for each share of outstanding stock. This offering will provide $18 million of new financing for the firm, ignoring all issue costs. Assume that all rights are exercised. What will be your new ownership position if you opted to sell your rights rather than exercise them personally?
A. 5.08
B. 4.58
C. 4.83
D. 5.33
Business
1 answer:
natta225 [31]3 years ago
8 0

Answer:

The new ownership position is A. 5.08

Explanation:

Current holding= 6%

current no. of shares= 2*6%=.12

new no. of shares issued =18/50=.36

total no. of shares become =2+.36=2.36 million

my holding in no. =.12 million

my holdinng in %=.12/2.36=.0508

or, 5.08%

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briefly explain what you consider an entrepreneur to be and describe the three most important attributes you need to develop to
expeople1 [14]

Answer:

An entrepreneur is a person who finds an economic opportunity in the market, and exploits it for his own benefit and the benefit of his employees and constomers by setting up a firm.

Explanation:

Three characteristic of an entrepreneur:

Opportunity seeking: entrepreneurs "scan" the market, seeking for market niches that have not been exploited.

Work-ethic: entrepreneurship is a difficult task, especially during the first years of the company. It demands very long work hours, and the entrepreneur must be willing to do that in order to be successful.

Risk-taking: entrepreneurs should evaluate risk when taking decisions, but they should not be the most risk-averse indidivuals. They have to take risks in certain situations because otherwise, they would not be able to become entrepreneurs at all.

3 0
2 years ago
How does the automated system improve the efficiency and timeliness of financial <br> statements?
stich3 [128]
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4 0
3 years ago
Freight car loadings over an 18-week period at a busy port are as follows: A- Determine a linear trend line for expected freight
padilas [110]
The linear equation that best fits the given data is
y = 19.19x + 213.53
after data processing

In week 20 and 21, the expected loading is
y = 19.19 (20) + 213.53 = 597.33
y = 19.19 (21) + 213. 53 = 616.52

The week when the load is 776 is
776 = 19.19x + 213.53
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8 0
3 years ago
Bond issuance: 20% of total funds, requires 15% interest per year Bank loan: 60% of total funds, requires 9.5% interest per year
Anettt [7]

Answer: 28.57%

Explanation:

Average return given the variables will be;

Average rate of return = \frac{Annual net income}{Average investment}

Average rate of return = \frac{1,000,000}{\frac{7,000,000}{2} }

Average rate of return  = 1,000,000/3,500,000

Average rate of return = 28.57%

4 0
3 years ago
Which of these is the largest difference between developed and developing countries?
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<span>As there is no set of options given with the question, we'd go with one difference which is most conspicuous between the two types of countries. That difference is the standard of living and amenities in the incone range of the masses. In developing countries, people still have to give up on necessary amenities which are normal to have in developed countries.</span>
8 0
2 years ago
Read 2 more answers
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