A social relationship would include your co-workers and friends?
Answer: $930
Explanation:
From the question, we are informed that bond market values are expressed as a percentage of their bond value and are further told that a $1,000 bond that is being sold at 93.
Therefore, the bond will be trading at:
= $1000 × 93%
= $1000 × 0.93
= $930
Answer:
a. Dividends to Preferred shareholders:
Total dividends:
= 20,000 * 50 * 6%
= $60,000
Dividends per preferred share:
= 60,000 / 20,000 shares
= $3.00 per share
Common shareholder dividends
Common shareholders get the remaining dividends that did not go to Preferred shareholders:
= 160,000 - 60,000
= $100,000
Common dividends per share:
= 100,000 / 50,000 shares
= $2.00 per share
b. These are cumulative preferred shares which means that accrued dividends must be paid off:
Preferred shares in total would be:
= 60,000 * 2
= $120,000
Preferred dividends per share:
= 120,000 / 20,000
= $6.00 per share
Common dividends in total:
= 160,000 - 120,000
= $40,000
Common dividends per share:
= 40,000 / 50,000 shares
= $0.80 per share
Answer:
3.27
Explanation:
Calculation to determine the enterprise value-EBITDA multiple for this company
First step is to calculate the
Enterprise value
Using this formula
Enterprise value = Market Capitalization + Total Debt - Cash and equivalents
Let plug in the formula
Enterprise value=$582000 + $192000 - $21000
Enterprise value=$753000
Second step is calculate EBITDA using this formula
EBITDA = EBIT + Depreciation and Amortization
Let plug in the formula
EBITDA= $93000 + $137000
EBITDA=$230,000
Now let determine the EBITDA multiple using this formula
EBITDA multiple = Enterprise Value / EBITDA
Let plug in the formula
EBITDA multiple=$753000 / $230000
EBITDA multiple= 3.27
Therefore enterprise value-EBITDA multiple for this company is 3.27
Answer:
option (2) q1 = 16; q2 = 12
Explanation:
Given:
P = 100 - 2(q1 + q2)
here,
q1 is the output of Firm 1 and q2 is the output of Firm 2
Firm 1's marginal cost = $12
Firm 2's marginal cost = $20
Now,
Profit maximising level of output is attained where the marginal revenue equals the marginal cost
Thus,
for firm 1,
Total revenue, TR = P×Q
TR = (100 - 2q1 - 2q2) × q1
or
TR = 100q1 - 2(q1)² - 2(q1)(q2)
also,
MR = 
thus,
MR = 100 - 4q1 - 2q2
MC = $12
now
MR = MC
or
100 - 4q1 - 2q2 = 12
or
88 = 4q1 + 2q2
or
q2 = 44 - 2q1 ............... (1)
also,
for firm 2, we have
TR = (100 - 2q1 - 2q2) × q2
or
TR = 100q2 - 2(q1)(q2) - 2(q2)²
and,
or
MR = 100 - 2q1 - 4q2
and
MC = $20
Now,
MR = MC
or
100 - 2q1 - 4q2 = 20
or
80 - 4q2 = 2q1
or
40 - 2q2 = q1 .....................(2)
Now,
substituting the value of q2 from (1), we get
q1 = 40 - 2(44 - 2q1)
or
q1 = 40 - 88 + 4q1
or
3q1 = 48
or
q1 = 16 units
substituting the value of q1 in equation (1) , we get
q2 = 44 - 2 × 16
or
q2 = 12 units
Therefore,
The correct answer is option (2) q1 = 16; q2 = 12
