Answer:
The WACC is 10.93%
Explanation:
The WACC or weighted average cost of capital is the cost to firm of its capital structure. The capital structure of the firm consists of debt, preferred stock and common stock. The WACC is calculated by taking the sum of the weighted average cost of each component of the capital structure.
WACC = wD * rD * (1-tax rate) + wP * rP + wE * rE
Where,
- w represents the weight of each component as a proportion of total assets
- r represents the cost of each component
- We take the after tax cost of debt. So, rD is multiplied by (1-tax rate)
WACC = 0.45 * 0.09 * (1-0.35) + 0.1 * 0.065 + 0.45 * 0.17
WACC = 0.109325 or 10.9325% rounded off to 10.93%
Answer:
More consistent and extended education leads to more job opportunities, increased income, and the ability to change one's economic status.
Explanation:
Education has not only a connection to sanitation and hygiene elements in informal settlements, but also to general career development
Price bundling.
This combines multiple items for a single, discounted price. Even though the combined price is lower, it actually can help profits and sales because it encourages customers to buy more than they otherwise would.
Answer:
Availability bias
Explanation:
A manager has a very critical responsibility to evaluate employees from time to time. In that regard, the manager should not be bias otherwise it can badly affect the overall performance of a firm or organisation. In the above example, the manager's perception is affected by availability bias; it is a problem in which managers feel that available data is sufficient to form a conclusion.
Answer:
The correct answer is C.
Explanation:
Giving the following information:
Molly estimates that she will use 10,000 pounds of cheese filling each month. The costs associated with each pound of cheese filling consist of $10.64 direct materials, $14.96 direct labor, $14.60 variable overhead, and $13.00 fixed overhead. Pasta Specialties (PS) has approached Molly and offered to supply 10,000 pounds of cheese filling each month for $405,200.
Make in house:
Unitary cost= 10.64 + 14.96 + 14.60= $40.2
Nose of the fixed cost are avoidable, therefore they are taken into account to make the decition.
Buy= 405,200/10,000= $40.52
Cost difference= 40.2 - 40.52= -0.32