Answer:
$1,729,098
Explanation:
Given that,
EBIT = $377,000
No debt.
Cost of equity = 13.3 percent
Tax rate = 39 percent
Value of issuing bonds at par = $2.7 million
Coupon rate = 6.5%
Therefore,
Unlevered value of the firm:
= [EBIT × (1 - Tax rate)] ÷ Cost of equity
= [$377,000 × (1 - 0.39)] ÷ 0.133
= $229,970 ÷ 0.133
= $1,729,098
Answer:
EBIT
Explanation:
As of 2018 US Tax law limits the tax deduction for interest payments to 30 percent of EBIT.
<em>The Office of Tax Policy develops and implements tax policies and programs, reviews regulations and rulings to administer the Internal Revenue Code.</em>
<em />
The answer is : $ 212,471.00
Given the Factors :
PV of annuity due of $1: n = 20; i = 6% is 12.15812
PV of ordinary annuity of $1: n = 20; i = 6% is 11.46992
<span>PV of $1: n = 20; i = 6% is 0.31180
</span><span>$12,000.00 × 11.46992* = $ 137,639.00
$240,000.00 × 0.31180** = 74,832.00
$137.639+$74,832.00 = $ 212,471.00 </span>
Answer:
False
Explanation:
Strong emotions, especially violent or vengeful ones like anger, can cloud logical judgement and cause inappropriate outbursts. Writing an email while angry, especially in a professional environment, can have consequences and affect the receiver's impression of you. It is better to wait until the anger has subsided so you can explain why you may disagree politely, or choose the best course of action with a clear mind.
Answer
The answer and procedures of the exercise are attached in the following archives.
Step-by-step explanation:
You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.