<span>A check register is a good source of information for budget planning purposes. The statement presented is False. A check register is document where you can find the transactions of the company presented in a general ledger. It is not for budget planning purposes.</span>
Answer:
d. rapid expansion
Explanation:
The main objective of an investor is to invest his capital in an industry that generates profits. Therefore, analyzing the above question, it is correct to say that an organization that is expanding its business quickly, is achieving success in the market in which it operates, so this alternative is ideal for an investor seeking capital gains.
Initial development would be an alternative that does not have a real return for the investor, mature growth is also not the most profitable option, and the stability or decline option does not present a profitable and reliable alternative for an investor.
Answer:
WACC = 10.50 %
Explanation:
(‘1) Calculation of cost of debt- Cost of debt is nothing but yield to maturity of bond
Yield to maturity is nothing but the rate of return at which all future cash flows will become equal to current market price.
Current Market Price = PV of Coupon payments + PV of FV of bond
1040= 34 [ 1- (1+0.5 YTM)-2 x 30 / 0.5 YTM] + 1000 / ( 1+0.5 YTM )2 x30
YTM = 6.5 %
So cost of debt Rd = 6.5 %
(‘2) Cost of Preferred stock
Rps = Dps / Price
Rps = 5/78 = 6.41 %
(3) Cost of Common Stock
Rs = Risk Free rate + Beta x Market Risk Premium
Rs = 4.80 + 1.14 x 7
Rs = 12.78 %
4. Check the image attached.
WACC = 10.50 %
WACC= Wd x Rd x ( 1- Tax rate) + Wps x Rps + WCE x Rs
Post Tax Debt cost will be considered in WACC
Post Tax cost of debt= Cost x ( 1- Tax Rate )
Post Tax Cost = 6.5 x ( 1-0.38) = 4.03 %
Answer: c. A-One or Best.
Explanation:
Best Collection Company are the ones who cause the accident and so they can be held liable and have to compensate Carl for injuries and harm caused.
Best however, was acting as an agent on behalf of A-One Auto Sales so A-One can be held liable as well for the incident. Carl can therefore also be compensated by A-One as well.
Carl cannot be compensated by both for the same incident as this amounts to double compensation but can be compensated by either one of them.
In this scenario, EMOTIONAL INTELLIGENCE should be employed to minimize the differences among the managers. Emotional intelligence refers to the ability to recognize and manage one's emotions as well as that of others. Emotional intelligence can be used in conflict resolution to resolve conflict and to arrive at a conclusion that will recognize and meet everyone needs.