Traditionally, the formulas used to express a firm's cost of equity are the dividend capitalization model and the capital asset pricing model (CAPM).
Explanation:
Generally, two risk components determine a firm's cost of equity. The first is the systematic risk associated with the broader equity market. All firms are exposed to this risk, and it cannot be mitigated through diversification.
The second risk component is the unsystematic risk associated with the firm in question. This risk, often reflected as beta, a measure of the stock's volatility in relation to the volatility of the broader market, can be mitigated via diversification.
Answer:
EPS
Plan I $2.03 per share
Plan II $1.78 per share
Explanation:
Plan I
As this plan is all equity plan, so there is no debt and no interest expense as well.
In the absence of taxes, We will use the EBIT in the calculation of EPS
EPS = Net Earning / Outstanding numbers of shares = $375,000 / 185,000 = $2.03 per share
Plan II
In this levered plan we have debt and equity combination. We also have to deduct the interest expense from EBIT to calculate the net income.
Interest Expense = $2,700,000 x 5% = $135,000
Net Income = EBIT - Interest Expense = $375,000 - $135,000 = $240,000
EPS = Net Income / Outstanding numbers of shares = $240,000 / 135,000 = $1.8 per share
Answer:
The correct answer is Activate the forensics analysis team and prepare documentation.
Explanation:
The digital forensic analysis corresponds to a set of techniques aimed at extracting valuable information from disks, without altering their status. This allows you to search for data that is previously known, trying to find a certain pattern or behavior, or discover information that was hidden. In this post the topic will be introduced, as well as the usefulness of it, either inside or outside an investigation.
In the field of Forensic Computing there are several stages that define the methodology to follow in an investigation: identification, preservation or acquisition, analysis and presentation of the results. Following the logical flow of activities, you must first identify the sources of data to be analyzed and what you want to find, then you must acquire the forensic images of the disks or sources of information, then the analysis of the acquired is performed to extract information valuable and finally the results of the analysis are sorted and presented, so that they are useful.
Answer:
The correct answer is letter "C": Allocate the asset's cost to the periods benefiting from its use.
Explanation:
Depreciation indicates how much the worth of the asset has been used up<em>. It also tries to balance the expense of the asset to the revenue that the asset allows the company to gain meaning it helps to assign the cost of the asset compared to the profit it contributed to creating.</em> Used as a deduction of income tax, the depreciation measure gives companies an annual allowance for the use and deterioration of a capital asset.
