1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
mars1129 [50]
3 years ago
9

DAR Corporation is comparing two different capital structures, an all-equity plan (Plan I) and a levered plan (Plan II). Under P

lan I, the company would have 160,000 shares of stock outstanding. Under Plan II, there would be 110,000 shares of stock outstanding and $1.41 million in debt outstanding. The interest rate on the debt is 7 percent and there are no taxes. Use M&M Proposition I to find the price per share. (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Share price $ per share What is the value of the firm under each of the two proposed plans? (Do not round intermediate calculations and round your answers to the nearest whole dollar amount, e.g., 32.)
Business
1 answer:
Eddi Din [679]3 years ago
6 0

Answer:

a) Share price of company is $28.20.

b) So value of unlevered firm is $4.512 million.

Explanation:

a.

Share price = Value of debt / (160,000 - 110,000)

= $1,410,000 / 50,000

= $28.20

Share price of company is $28.20.

b.

VAlue of all equity firm = Number of share outstanding × Price per share

= 160,000 × $28.20

= $4.512 million

Value of levered firm is $4.512 million.

Since tax rate is zero, so value of levered firm equal to value of unlevered firm.

So value of unlevered firm is $4.512 million.

You might be interested in
B. the budgeted indirect-cost driver rate for y based on the number of machine-hours is in excess of x by ________per machine ho
kompoz [17]

$6 per machine-hour
Explanation: X = $300,000 / 30,000 mh = $10.
the budgeted indirect-cost driver rate for y based on the number of machine-hours is in excess of x by $10 per machine hour.

Indirect Costs
Any expense that is indirectly connected with two or more final cost objectives or an intermediate cost target rather than directly with a single, ultimate cost objective is referred to as an indirect cost. It is not considered to be a direct cost. Indirect costs are those that must still be assigned to the various cost objectives after direct costs have been identified and charged directly to the contract or other job. If additional costs incurred for the same purpose under comparable conditions have been included as a direct cost of that or any other final cost aim, no indirect costs may be assigned to that objective.

To learn more about Indirect-Cost
brainly.com/question/24762880
#SPJ4

7 0
2 years ago
accenture is involved in the transformation of an organization into a data driven and intelligent enterprice. which ability does
Vlad [161]

Group of answer choices.

A. to collect exabytes and zettabytes of data from different sources

B. to gather, re-organize, and store different categories of all raw data for easy and faster retrieval

C. to store large amounts of data including raw and unorganized facts

D. to capture, curate, and consume the right data sets

Answer:

B. to gather, re-organize, and store different categories of all raw data for easy and faster retrieval

Explanation:

A database management system (DBMS) can be defined as a collection of software applications that typically enables computer users to effectively and efficiently create, store, modify, retrieve, centralize and manage data or informations in a database. Thus, it allows computer users to efficiently retrieve and manage their data with an appropriate level of security.

Generally, a database management system (DBMS) acts as an intermediary between the physical data files stored on a computer system and any software application or program.

Hence, a software that enables the organization to centralize data, manage the data efficiently while providing authorized users a significant level of access to the stored data, is called a Data Base Management System (DBMS).

One of the world's largest management and technological consulting company that provide services such as database management, consulting, strategy and outsourcing is Accenture.

Basically, Accenture help businesses in the implementation of data governance and management policies so as to ensure their data is trustworthy and reliable.

Thus, they're involved in the strategic transformation of an organization, business firm or company into a data driven and intelligent business enterprise.

Hence, the ability accenture need to ensure the organization has to become a successful business​ is to engage in the gathering, arrangement or reorganizing, and storage of different categories of all raw data for easy, effective, efficient and faster retrieval.

7 0
3 years ago
What is the main source of diseconomies of scale? A Physical capital breaking more often with large output levels B Specializati
alina1380 [7]

Answer:

C. Limited ability to manage and coordinate larger amounts of inputs.

Explanation:

Diseconomies of scale: It is a situation when the average cost of production decreases as the output increases due to increase in the size of the organization and it become difficult and costly to coordinate or manage worker or other inputs. It also causes diminishing marginal product in the long run. It is opposite of economies of scale. Diseconomies arise due to use of unskilled laborer and outdated technologies for production.

5 0
3 years ago
The loss a company experiences when a service goes unused is referred to as
Anna007 [38]

IT IS >>>>>>>> Perishability

4 0
3 years ago
What does "employable" mean and how does it relate to careers?
ipn [44]

Answer:

employablee means that your able to apply to get a job i think but im not sure i just need these points lol

Explanation:

7 0
3 years ago
Other questions:
  • During quality management planning, the project manager and team determine what will be measured during the Control Quality proc
    10·1 answer
  • In Jan. 2020 Mary Jones was earning $40,000 in net income and spending $39,000 on a yearly basis. Mary Jones loses her job on Ap
    12·1 answer
  • In the absence of the assigned team manager, the ____ should assume authority for overseeing and evaluating a provided service.
    14·1 answer
  • What is the ultimate goal of any marketing communication k
    6·1 answer
  • A company produces a product with variable costs of $2.50 per unit. The product sells for $5.00 per unit. The company has fixed
    7·1 answer
  • Pearson Motors has a target capital structure of 30% debt and 70% common equity, with no preferred stock. The yield to maturity
    11·1 answer
  • Pedro's child attends a school operated by the church the family attends. Pedro made a donation of $1,000 to the church in lieu
    11·1 answer
  • When the economy is in full employment, * 10 points A. unemployment is zero. B. only cyclical unemployment is zero. C. only fric
    12·1 answer
  • To avoid channel conflict resulting from Internet selling, a company should Multiple choice question. charge prices for online d
    10·1 answer
  • A(n) ________ makes values from a central database available for applications that support all of an organization's internal bus
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!