Answer:
Option A is correct.
The required rate of return for the bond that PUMP managers are considering is <u>1.46%</u>
Explanation:
Required rate of return for the bond that PUMP managers are considering is 1.46%. Because, currently, the yield on a U.S. Treasury bond with about 10 years to maturity is 1.46%. same type of bond yielding is 1.46%.
Answer:
c. 15.8%
Explanation:
The cost of equity is the WACC (weighted average cost of equity)
WACC formula = wE*rE + wD*rD(1-tax) , whereby
wE = weight of equity = 65%
rE = cost of equity = 20%
wD = weight of debt=35%
rD(1-tax ) = after tax cost of debt =8%
WACC = (0.65 *0.20) + (0.35*0.08)
= 0.13 + 0.028
= 0.158 or 15.8%
Therefore, the overall cost of capital is 15.8%
The information that would cause a company's stock price to go
down is a company abandons development of a new technology.
<h3>What is a stock?</h3>
A stock is a means used to raise capital by public companies. Stocks give holders the right to become owners of the company. Stockholders receive dividends.
When a company abandons the development of new technology, it is a negative signal that indicates to the public that all is not well. This reduces the confidence of the public in the company. As a result, stock prices begin to fall.
To learn more about stocks, please check: brainly.com/question/9970004
Answer:
the Sharpe ratio of the optimal complete portfolio is 0.32
Explanation:
The computation of the sharpe ratio is shown below:
= (Return of portfolio - risk free asset) ÷ Standard deviation
= (17% - 9%) ÷ 25%
= 8% ÷ 25%
= 0.32
Hence, the Sharpe ratio of the optimal complete portfolio is 0.32
We simply applied the above formula
Nations are unable to react by placing limitations on other imports from Saudi Arabia.
What is Strategic Trade?
Strategic commerce refers to the management of certain commodities' export, import, international transit, and transhipment to specific recipients, for specific end-uses/end-users, and under specific conditions. Dual-use drugs and technologies that have both acceptable commercial uses and sensitive uses that could support actions that hurt people or states are those that are listed as subject to UN Security Council Resolution 1540 (2004) and other UN embargoes and penalties. Controlling these commodities requires a balanced strategy; dual-use products, parts, and raw materials must be seen as strategically traded in order to prevent them from moving farther into criminal usages.
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