Answer:
d. 5.14%.
Explanation:
Calculation to determine the best estimate of the after-tax cost of debt.
First step
Based on the information given we would make use of rate formula in excel.
=rate(nper,pmt,-pv,fv)
Where,
nper= coupon every six months for 20 years = 40 coupon payments
Pmt =$1000*7.25%*6/12=$36.25
Pv = $875
Fv =$1000
Let plug in the formula
=rate(40,36.25,-875,1000)=4.28% semiannually
=4.28% *2=8.56% annually
Now let calculate the after tax cost of debt using this formula
After tax cost of debt=8.56%*(1-t)
Where,
t represent tax rate of 40%
Let plug in the formula
After tax cost of debt=8.56%*(1-0.4)
After tax cost of debt=5.14%
Therefore the best estimate of the after-tax cost of debt is 5.14%
Answer:
see below
Explanation:
Banks pay interest on customer deposits. It means that a customer's deposit will grow if left at the banks for some period. When a customer deposits, the bank retains only a small fraction of the money in its custody. The bigger portion is loaned out to other customers. Therefore, a bank uses customer deposits to create loans. In return, the banks will pay customers interest for the use of their deposits. Banks also charge interest when they loan out money.
An entrepreneur is a person who organizes and manages any enterprise, especially a business, usually with considerable initiative and risk.
Answer:
absolute addresses change depending on the cells you copy them to.
relative addresses do not change if you copy them to a different cell.
Explanation:
A cell reference is a single cell or range of cells on a Excel worksheet. When calculations are done, these cells can be referred to. The cells are referred to using their row value and column value.
Relative references (or addresses) changes based on the position of rows and columns when a formula is copied to a different cell.
Absolute references (or addresses) do not change (remain constant) even if the formula is copied to a different cell.
Answer:
It might be endorsement.
Explanation:<u><em>To think about:</em></u> What must a celebrity endorsement always reflect? Honest opinion of the endorser. According to the Federal Trade Commission (FTC), endorsements must always reflect the honest opinions, findings, beliefs, or experience of the endorser. ... Endorsements are a form of advertising.