Answer:
Option E is correct
An increase in the depreciation expense will not affect the cash coverage ratio.
Explanation:
Option E is correct
An increase in the depreciation expense will not affect the cash coverage ratio.
Cash coverage ratio tells us if firm is capable of paying its current liabilities with the cash or cash equivalent. It can not allow other assets to be used for paying the current liabilities.
Formula for Cash Coverage ratio:
Cash Ratio=
So, Cash coverage ratio is independent of expenses whether it is a depreciation or some other expense.
Trade-off
A trade-off is a situational decision in which one quality, quantity, or feature of a set or design is reduced or lost in exchange for gains in other areas. A tradeoff occurs when one thing increases while another must decline.
What is consumer's real wage?
Real earnings are salaries that have been factoring in inflation, or wages in perspective of the amount of services and goods that may be purchased.
Main Content
$606
Given the answers to the question, the complete or implicit income of the consumer would be determined as follows:
When the customer works, she earns an hourly wage of $17.00, therefore when she works for 24 hours, she will earn:
=$17
24
=$408
Also, when the customer sells all the 17 units of the composite good, she will earn:
=$1118
=$198
Therefore, the customer's full income would be:
=$408+$198
=$606
To learn more about Trade-off
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Answer:
6.57%
Explanation:
The WACC formula is really easy you just have to calculate the weights of the debt or equity whatever is given in the question and then multiply it by the percentage of borrowing given. The total borrowing in this question is 12000(4911+4305+2784).
WACC for this question will be calculated as:
=> (4911/12000)*0.04 + (4305/12000)*0.06 + (2784/12000)*0.12
=> 0.0657
=> 6.57%
Hope this helps,
Goodluck buddy
Answer:
C. Letter C; demand exceeds supply, resulting in a shortage
Explanation:
I had put my answer as A on the test and got it wrong. But this is the correct answer C.
