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3 years ago

Is the cost of equity calculated from the CAPM model, pre -tax or post-tax?

1 answer:

3 0

The existence of pre-tax cost of debt and post-tax cost of debt is due to the acknoledgement of the tax benefit from issuing debt.There is no tax benefit from paying divdends,so it makes no sense talking about pre-tax,post-tax cost of equity for a firm.When you think about cash flow to equity you can only assume that the taxes owed by the company have already been paid.Now, the taxation over the income of the shareholder is a whole different issue that does not take place in this discussion,since it is not taken in consideration either in cost of equity or cost of debt.

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Colby runs a start-up that sells seasonal holiday packages. He leads a team of 10 people. Every time his customers are happy wit

Westkost [7]

Answer:

bureaucratic control

Explanation:

Bureaucratic control is a management style that tries to control the behavior and performance of the employees through reward or price mechanisms.

In order to achieve its purpose, bureaucratic style managers use a system of standardized rules, processes and verification procedures.

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3 years ago

Consider two cars manufactured by Chevrolet in 2014. During 2014, Chevrolet sells one of the two cars to Emily for $20,000. Late

Anna35 [415]

Answer:

The answer is: $39,000

Explanation:

The gross domestic products includes all the production of final and legal goods or services. These final products can be sold or held in inventory.

In this case, the GDP should include the $20,000 car sold to Emily and the $19,000 that correspond to the car held on finished inventory.

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3 years ago

What was the earliest franchise of indoor cycling classes called?.

FinnZ [79.3K]

The earliest franchise of indoor cycling classes called Spinning

<h3>Spinning</h3>

Spinning is a brand of indoor bicycles and indoor cycling instruction classes distributed and licensed by the American health and fitness company Mad Dogg Athletics.

In conclusion, we can conclude that the correct answer is spinning.

learn more about spinning from here: brainly.com/question/339581

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2 years ago

The Procter & Gamble (P&G) Company produces bar soap, disposable diapers, deodorants, laundry detergents, cookies, cake

Airida [17]

Answer:

Product Mix

Explanation:

Product Mix is defined as the combination of products produced to increase the market share of the company and ultimately the profits for a company. The Procter and Gamble (P&G) Company produces many different products including deodorants, cookies, shampoo, cake mix, disposable diapers, laundry detergents, bar soaps and many other types of products to increase the market share of the company.

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3 years ago

Read 2 more answers

True or false: Contributions of cash and property to a corporation in exchange for shares of the corporations stock can be tax d

LUCKY_DIMON [66]

Answer:

True

Explanation:

According to the United States of America Code, under section 351, which basically deals with the transfer to a corporation controlled by the transferor, it is TRUE that contributions of cash and property to a corporation in exchange for shares of the corporation stock can be tax-deferred.

Hence, it can be concluded that the correct answer to this question is definitely TRUE.

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2 years ago