36,899 macdonalds i think in america
Answer and Explanation:
The computation is shown below:
Debt = D ÷ (E + D)
= 0.8 ÷ (1 + 0.8)
= 0.4444
Now
Weight of equity = 1 - Debt
= 1 - 0.4444
= 0.5556
As per Dividend discount model
Price = Dividend in 1 year ÷ (cost of equity - growth rate)
40 = $2 ÷ (Cost of equity - 0.06)
Cost of equity = 11%
Cost of debt
K = N
Let us assume the par value be $1,000
Bond Price =∑ [(Annual Coupon) ÷ (1 + YTM)^k] + Par value ÷ (1 + YTM)^N
k=1
K =25
$804 =∑ [(7 × $1000 ÷ 100)/(1 + YTM ÷ 100)^k] + $1000 ÷ (1 + YTM ÷ 100)^25
k=1
YTM = 9
After tax cost of debt = cost of debt × (1 - tax rate)
= 9 × (1 - 0.21)
= 7.11
WACC = after tax cost of debt × W(D) + cost of equity ×W(E)
= 7.11 × 0.4444 + 11 × 0.5556
= 9.27%
As we can see that the WACC is lower than the return so it should be undertake the expansion
The joint federal and state
health insurance program for low-income persons in the United States is called
MEDICAID. Medicaid, helps with medical costs for those people with limited
resources and income. While Medicaid is jointly funded by both federal and
state governments, it is managed by the state governments.
Answer:
38.5%
Explanation:
Rf = 8.0%
Rm = 18.0%
Beta = 3.05
RRR ?
from the given data the capital asset pricing model will be used to calculate the RRR
RRR = Rf + β (Rm - Rf)
=8.0 + 3.05 (18.0-8)
=38.5%
Answer:
$134,300
Explanation:
The computation of total manufacturing overhead is shown below:-
Variable manufacturing overhead = Variable manufacturing overhead cost per unit × Units produced
= $1.60 × 8,000
= $12,800
Total Manufacturing overhead = Variable manufacturing overhead + Fixed manufacturing overhead
= $12,800 + $121,500
= $134,300
So, for computing the total manufacturing overhead we simply applied the above formula.
