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castortr0y [4]
2 years ago
5

FetchFun Inc. is currently an all-equity firm with 20 million shares outstanding and a stock price of $7.50 per share. FetchFun

Inc. plans to announce that it will borrow $50 million and use the proceeds to repurchase shares. FetchFun Inc. will pay interest only on this debt, and it has no further plans to increase or decrease the amount of debt. The corporate tax rate is 40%.
Required:
a. What is the market value of FetchFun Inc. existing assets before the announcement?
b. What is the market value of FetchFun Inc assets (including any tax shields) just after the debt is issued, but before the shares are repurchased?
Business
1 answer:
baherus [9]2 years ago
4 0

Answer:Im figuring this out for you!

Explanation:

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Which of the following statements is TRUE?
Dahasolnce [82]

Answer:

Third one....The interest rate on your savings account will vary over time and be set by the government

Earn interest at a norminal rate.

7 0
3 years ago
The Coffee Collective is seeking to identify customers who want a unique coffee drinking experience and are open to a loyalty re
hammer [34]

Answer:

market segment

Explanation:

We know that a market segment is a group of people who share one or more common characteristics, lumped together for marketing purposes.

In this example, The Coffee Collective is seeking to discover target customers who share particular coffee drinking habits and who are open to loyalty reward programs. Thus, they aim to find potential customers who share common characteristics.

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3 years ago
If A sells to B, and B obtains title while goods are in transit, the goods were shipped .If C sells to D, and C maintains title
astraxan [27]

Answer:

The answer is a. Free on Board (FOB) shipping point, Free on Board (FOB) destination.

Explanation:

In the case of A to B, the goods were shipped at FOB shipping point because the title passes to B while the goods are in transit. FOB shipping point means that the seller of a goods passes the title to the buyer at the point where the goods are being delivered to the designated carrier of the buyer.

In FOB shipping point, once the goods have transferred to the carrier to convey to the buyer, the buyer obtains title immediately not minding that the goods are yet to arrive at the buyer`s door. In addition, any risk of damage or loss of goods in transit are solely borne by the buyer because title has passed immediately seller transfers the goods to the carrier designated by the buyer.  This is true in A to B case because B obtains title while goods are in transit. So the goods were shipped at FOB shipping point.

For C to D, the goods were shipped at FOB destination because buyer obtains title only when the goods arrive at his/her door. Conversely yo FOB shipping point, the risk of damage and loss of goods in transit is entirely borne by the seller because the title has not passed to the buyer until the goods arrive at the buyer`s door.

4 0
3 years ago
Difference between relative and absolute scarcity
Arisa [49]

Answer: Relative scarcity could be described as that where the resources are limited in supply for a short while, due to manufacturing or supply challenges.

Absolute scarcity could he described as where supply is naturally limited. No possibility of the supply increasing.

Explanation:

Relative scarcity could be described as that where the resources are limited in supply for a short while, due to manufacturing or supply challenges.

Absolute scarcity could he described as where supply is naturally limited. No possibility of the supply increasing.

In relative scarcity, there is a probability of the supply to be made available later while in absolute, there is no possibility of it happening.

7 0
2 years ago
Last year you purchased a new car for $18,500. Today you sold the car for $14,750. If the car's value is measured by what someon
vodka [1.7K]

Answer:

-20.27%

Explanation:

Value = ($14,750 / $18,500) - 1 = -20.27%

5 0
2 years ago
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