Answer:
A. If the loan is not reclassified as equity, Swan can deduct interest expense annually of $18,000, and Tonya includes in gross income annually interest income of $18,000.
Explanation:
Loans received under $385 should not be reclassified as equity.
Interest expense is determined by multiplication of the money Tonya loans Swan multiplied by the interest rate.
Therefore,
Interest expenses = 600000 x 3%
= $18000
Answer:
Growth stocks; Long-term bonds
Explanation:
If you believe the economy is about to go into a recession and your portfolio consists of growth stocks, defensive stocks and long-term bonds, you might change your asset allocation by selling<u> Growth stocks</u> and buying <u>Long term bonds.</u>
As in the given case, the economy seems to be in trouble and chances that it may go into recession, then there is a high-risk float in the money market which may reduce the growth of stocks and long term bonds have fixed income, therefore, while allocating assets during the recession, people should sell growth stocks and buy long term bonds.
Answer:
$4.3
Explanation:
For computing the share price, first, we have to compute the Value of firm which is shown below
= Free cash flow ÷ (cost of capital - growth rate)
= $16 million ÷ (10.6% - 2.8%)
= $16 million ÷ 7.8%
= $205.12 million
Now find the equity value which equals to
= Value of firm - debt value + cash
= $205.12 million - $23 million + $8 million
= $190.12 million
And, the number of outstanding shares is 44 million
So, the price per share would equal to
= Equity value ÷ number of outstanding shares
= $190.12 million ÷ 44 million shares
= $4.3
Answer:
C). A revenue-focused bidding strategy.
Explanation:
As per the details given in the question, <u>'a revenue-focused bidding strategy' </u>will most likely assist the marketer in upkeeping his needs as his<u> key focus is to discern a particular return on his investment that he made for the monthly ad spend made by him</u>. This automated strategy of bidding will allow him to keep track of the revenue and escalate the return. Thus, <u>option C</u> is the correct answer.
Answer:
The correct approach will be "disposal, computing and manufacturing".
Explanation:
- Green computing would seem to be computers as well as about there resources which are agriculturally cost-effective and environmentally approachable.
- More broadly, it should also be characterized as studying the design, manufacture as well as engineering, use, and disposal of computer systems in such a manner that minimizes their influence on the earth.
