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Ghella [55]
3 years ago
9

​(Defining capital structure​ weights) In August 2015 the capital structure of the Emerson Electric Corporation​ (EMR) (measured

in book and market​ values) was as​ follows: ​ ($ Millions) Book Value Market Value ​ Short-term debt ​ $2 comma 600 ​$2 comma 600 ​ Long-term debt 4 comma 246 4 comma 246 Common equity Modifying 8 comma 051 with underline Modifying 35 comma 711 with underline Total capital Modifying $ 14 comma 897 with double underline Modifying $ 42 comma 557 with double underline What weights should Emerson use when computing the​ firm's weighted average cost of​ capital?
Business
1 answer:
Vikki [24]3 years ago
6 0

Answer:

0.1609 and 0.8391

Explanation:

The computation of the weight required to compute the  firm's weighted average cost of​ capital is shown below:

For Weight of debt

= (Short-term debt + Long-term debt) ÷ (Total Capital )

= ($2,600 + $4,246) ÷ ($42,557)

= 0.1609

For weight of equity

= Common Equity ÷ Total Capital

= $35,711 ÷ $42,557

= 0.8391

We simply divide the debt with its total capital so that the weight of capital structure could arrive

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A 1,500 square foot office space is leased at $12.00 square foot. The space is vacant one month out of the year. Office expenses
Ymorist [56]

Answer:

$7500

Explanation:

An expense stop is a tool used by landlords to limit their operating costs and maintain predictable operating costs over the terms of the lease. Hence, even though the operating expense is $6.50, the landlord is only accountable for $6.

The operating costs annually would be: 1500 x 6 = 9000

(Even though the office space is vacant for one month of the year, maintenance costs will still be incurred throughout the year, whether leased or vacant)

Annual income :

1500 x 12 = $18000 (12 months)

It should be noted though that the office space is vacant for one month. Hence, landlord only receives 11 months worth of leased rent. Actual income : (18000/12) x 11 = $16500

Net operating income annually : Total income - Total expenses = $16500 - $9000 = $7500

3 0
3 years ago
A shoe company's ads feature the members of a popular country music band. Product sales increase significantly among the band's
ruslelena [56]

Answer: (B) Reference group

Explanation:

 A reference group is basically refers to the individual and the group that is specifically used for the comparison purpose. It is one of the type of group that share a common attitude, beliefs and the behavior for making the various types of decisions.

 According to the given question, a shoe's company is one of the most popular music band as the products sales of the company significantly increase. Then, from the fans point of views the band is refers to the reference group.

 Therefore, Option (B) is correct answer.  

4 0
3 years ago
John has been working as a tutor for $300 a semester. When the university raises the price it pays tutors to $400, Jasmine enter
Elza [17]

Answer:

b. between $100 and $200

Explanation:

Producer surplus: The producer surplus is a difference between the willing price declared by the producers and the price the producers receives for supplying the goods and services.

In mathematically,

Producer surplus = Willing price - Receiving price

                            = $400 - $300

                            = $100

4 0
3 years ago
You are thinking about the things that can go wrong on your trip home over the Thanksgiving break. You have booked a flight with
victus00 [196]

Answer:

The probability of you making it home for the holidays is:

= 45%.

Explanation:

a) Data and Calculations:

Probability of Scareways flights being canceled = 38%

Probability of successfully traveling with Scareways = 62% (100 - 38%)

Probability of getting a seat in Walter's car = 72%

Therefore, the probability of making it home for the holidays = the combined probabilities (either Scareways flight or Walter's car)

= 62% * 72%

= 0.62 * 0.72

= 0.4464

= 45%

3 0
2 years ago
A researcher designed an experiment to determine if consumption of caffeine results in increased levels of motor activity. in th
makvit [3.9K]
In the study above, the independent variable would be the consumption of caffeine. The independent variable is the variable that is not affected in any change that is done to the experiment. Most likely, it is the one that is being manipulated and in this experiment it the consumption of caffeine.
5 0
3 years ago
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