Answer:
Answer:
Dividend (D) = 4% x $100 = $4
Current market price (Po) = $18
Flotation cost (FC) = $1.50
Tax rate (T) = 40% = 0.40
Kp = <u> D
</u>
Po-FC
Kp = <u> $4
</u>
$18-$1.50
Kp = <u>$4
</u>
$16.5
Kp = 0.24 = 24%
Explanation:
Cost of preferred stock equals dividend divided by the difference between current market price and flotation cost. Cost of preferred stock is not tax deductible.
Answer: Knowledge gap
Explanation:
The knowledge gap is one of the concept that helps in explaining the lack of knowledge about the specific concept and by identifying our own abilities, skills and knowledge we can easily identity our main factor of the lack of knowledge.
According to the given question, Dave is basically suffering from the knowledge gap as Dave is unaware about the fact that why people are satisfying away from his store.
Based on the marketing research method he analyze that due to the lack of various types of services such as no return policies, gift cards offers and also the various types of special discount offers the people shows no interest in his book store.
Therefore, Knowledge gap is the correct answer.
Answer:
$122,600
Explanation:
Maintenance department cost = $27,000
Assembly department cost = $106,400
Square feet occupied by Milling department = 12,000
Square feet occupied by Assembly department = 18,000
Total square feet occupied by two production departments = Square feet occupied by Milling department + Square feet occupied by Assembly department
= 12,000 + 18,000
= 30,000
Maintenance department cost allocated to Assembly department = Maintenance department cost * (Square feet occupied by Assembly department / Total square feet occupied by two production departments)
= 27,000 * (18,000/30,000)
= 27,000 * 0.6
= 16,200
The total cost of operating the Assembly department for the current period = Assembly department cost + Maintenance department cost allocated to Assembly department
= $106,400 + $16,200
= $122,600
Answer:
Net working capital is the only expenditure where at least a partial recovery can be made at the end of a project.
Explanation:
Net working capital is the difference between current assets and current liabilities. Net working capital measures a company's liquidity.
In project analysis, net working capital is part of the cost. It is usually subtracted from cash inflows.
Net working capital is a cash outflow.
Net working capital is the only expenditure where at least a partial recovery can be made at the end of a project.
