Answer:
8.37%
Explanation:
WACC = [E / (D + E)](Re) + [D / (D + E)](Rd)(1 - T)
E = market value of equity
D = market value of debt
Re = cost of equity
Rd = cost of debt
T = taxes
- E = 3,000,000 common stocks x $50 = $150,000,000
- DP = 1,000,000 preferred stock x $33 = $33,000,000
- DB = 80,000 bonds x $1,080 = $86,400,000
- Re = (dividend / stock price) + growth rate = ($2.4 / $50) + 6% = 0.048 + 6% = 0.108 or 10.8%
- Rdp = $2.70 / $33 = 8.18%
- Rdb = $85 / $1,080 = 7.87%
- T = 33%
WACC = [E / (D + E)](Re) + [DP / (D + E)](Rdp)(1 - T) + [DB / (D + E)](Rdb)(1 - T)
since the numbers are too large, I will divide the calculation into three parts:
- [E / (D + E)](Re) = [$150,000,000 / ($119,400,000 + $150,000,000)](10.8%) = ($150,000,000 / $269,400,000) x 10.8% = 0.5568 x 10.8% = 0.0601 or 6.01%
- [DP / (D + E)](Rdp)(1 - T) = ($33,000,000 / $269,400,000) x 8.18% x (1 - 33%) = 0.1225 x 8.18% x 67% = 0.0067 or 0.67%
- [DB / (D + E)](Rdb)(1 - T) = ($86,400,000 / $269,400,000) x 7.87% x 67% = 0.0169 or 1.69%
WACC = 6.01% + 0.67% + 1.69% = 8.37%
Answer: Expectancy theory
Explanation:
The theory that suggests that the student will only work as hard as necessary to earn a "C" grade is the expectancy theory.
Expectancy theory states that an individual will act in a particular way due to the fact of what they believe will be the result of the behavior that they selected and thereby will select a particular behavior above orhers.
Here, the student simply selects his work above the school grade because he believes that a C is enough for him. Therefore, the answer will be expectancy theory.
Answer:
Saving
Explanation:
Just saving because you mudt save before boying a car
Answer and Explanation:
The classification is as follows:
a. It is a normative statement as it discussed that there is an efficient wages for all types of workers for earnings
b. It is a positive statement that depend upon the facts and proofs as the leisure for workers would create more unemployment as compared to before
c. It is a normative statement
d. It is a positive statement as the workers who are less skilled they can be settled for the minimum wages as they dont get the highest paying jobs because these jobs would be belong to those workers who are highly skilled
Answer:Hello!
Explanation:I am figuring this question out for you! one moment